The Romanian government has taken significant steps to bolster its economy amid mounting pressures, with a fresh examination of a state aid scheme valued at nearly 580 million euros targeting large energy consumers and the unveiling of a revamped Start-Up Nation program.
On March 20, 2025, Prime Minister Marcel Ciolacu announced during a government meeting that they are discussing this substantial aid package designed to benefit around 200 of Romania's most critical industrial producers. "We are analyzing a state aid scheme of approximately 580 million euros over six years for large energy consumers. It’s vital to keep our economy competitive and support 200 of the country's most important industrial producers," he explained.
Ciolacu also noted the preparation of a European support plan aimed at the steel and metallurgy sectors, indicating alignment with EU directives. "We are on the same wavelength with Brussels, where we will notify this state aid," he mentioned, emphasizing the state’s commitment to aiding crucial sectors of the economy.
In tandem with this, the Romanian government is launching the fourth edition of the Start-Up Nation program—this will focus exclusively on utilizing European funds amounting to 440 million euros. This initiative is the largest funding allocation for the program to date, which aims to encourage new business creation and job growth. According to Ciolacu, "We are supporting over 7,500 entrepreneurs, each receiving 50,000 euros, with the goal of creating a minimum of 15,000 new jobs."
Enrollment for the skills development module of the Start-Up Nation program is set to start on April 15, 2025. Graduates of this module will be eligible for financing of up to 250,000 lei per small and medium-sized enterprise (SME) to establish and grow their businesses in eligible sectors. "This module aims to enhance entrepreneurial skills while simultaneously fostering business development," Ciolacu added.
During the meeting, the Minister of Economy, Digitalization, Entrepreneurship, and Tourism, Bogdan Ivan, underscored four key distinctions of the come-back plan: the entire funding is sourced from European funds; it represents the largest allocation since the program's inception; it encompasses entrepreneurial skill development along with direct financial support; and it involves using new technologies and artificial intelligence to create a streamlined platform for entrepreneurs to submit projects for evaluation.
Minister Ivan explained, "What’s very important is that we are focusing on production and processing activities especially in food, electronics, and IT industries. We are also looking to stimulate the wood processing and paper industries, plus models implementable even in economically disadvantaged rural areas. Our target audience for these programs are youths under 35 years old."
In preparation for the roll-out, the program will officially launch following its publication in the Official Gazette, with the first round of applications for entrepreneurial training starting by April 15. It is anticipated that all contracts will be finalized and advance payments made by the end of October 2025.
One of the program's additional benefits is that all interest rates on bridge loans will be reduced to half of the market rate, facilitating easier access to funds for emerging entrepreneurs. Eligible expenses cover technology equipment, IT solutions with a positive environmental impact, start-up costs, marketing, and consultation services, among others.
All these initiatives demonstrate the government’s aggressive push to secure funds from the National Recovery and Resilience Plan (PNRR). Ciolacu emphasized the importance of urgency in implementing measures to access these financial resources. "After discussions with each minister, we have now identified initial solutions. We are discussing decisions that ensure we meet the milestones agreed with the European Commission and unlock all funds for Romania," he stated.
Ciolacu has also made it a point to conduct unannounced visits to public investment sites—especially those associated with the PNRR. He elaborated, "I want to see the reality, good or bad. I don't announce my visits to ministers, mayors, or contractors beforehand. But I promise to put immense pressure on everyone to complete these investments and utilize European funds effectively."
With these initiatives, the government is aiming to not only stabilize but also invigorate the Romanian economy by supporting large industrial producers while simultaneously paving the way for future entrepreneurs. As Romania endeavors to maintain competitiveness amidst the challenging economic landscape, the actions taken today may prove critical for the nation’s economic stability and growth in the coming years.
