subventions romania 2014 2020 state aid scheme

1. STATE AID TO STIMULATE INVESTMENTSwith major impact on the economy

2. STATE AID • State aid scheme aims regional developmentby making initial investments in fixed assets of high technology to achieve products with a high added value, regardless of the size of the recipient. • State aid scheme is included in the Program "State aid to finance investment projects" within the budget of the Ministry of Finance – General Actions.

3. STATE AID The maximum budget for the scheme is 2,700 million Ron, equivalent to 600 million Euro, to supplement as follows: a) Commitment to the issue of financing agreements for the period 2014-2020; b) Appropriations for payment of state aid approved under agreements to financing issued for the period 2015-2023.

4. STATE AID • Maximum annual budget of the scheme is 450 million Ron, equivalent to approximate 100 million Euro, as it will be determined by the annual budget laws. • Financing agreements may be issued under the scheme till December31,2020, respecting state aid law. • State assistance payments shall be made between 2015 and 2023, based on agreements for funding issued within the annual budget allocated to the scheme.

5. STATE AID • Who can apply for funding under the state scheme? Companies which may request state aid under this scheme are recently established companies or ongoing activity companies, both SMEs and large enterprises, with legal personality established under the Companies Act no.31/1990, republished, subsequent amendments.

6. STATE AID • What are the eligible and non-eligible expenses related to the initial investment? There are considered eligible expenses, costs without VAT linked to implementing or acquisition, where appropriate, the tangible and intangible assets and expenseslinked torenting construction related to the initial investment achievement. There are considered ineligible expenses, costs without VAT linked to implementing or acquisition, where appropriate, the tangible and intangible assets and expensesrelated to renting construction that do not qualify as eligible expenses. Ineligible costs are not funded by state aid.

7. STATE AID • What are the eligibility criteria of companies? Companies must meet all the followingconditions: 1. General a) They are registered under Companies Act no. 31/1990, republished, subsequent amendments; b) They make an initial investment in Romania in the areas of eligible activity; c) They prove the viability of the project investment and economic efficiency company based on the Investment Plan and Business Plan; d) They do not record debts to the budgets of the consolidated general budget; e) They do not qualify as "companies in difficulty"; f) They are not in enforcement proceedings, insolvency, bankruptcy, reorganization judicial dissolution operational closure, and liquidation or activity temporary suspension; g) They are not subject to decisions recovery of State aid or if such decisions were issued they were executed according to legal provisions in force; h) They did not benefit from other regional state aid for eligible costs of labor costs in the same single investment project; i) They haven’t closed the same or similar activity in the European Economic Area in the last 2 years prior to the application registration of the financing agreement and at the time of application registration, they have no concrete plans to close such an activity over a period of 2 years after completion of the region concerned, of the initial investment.

8. STATE AID 2. In addition to companies with at least one financial year ended j) Have profitability turnover greater than zero in the last year k) Have positive equity in the last financial year ended 3. In addition tostart-ups companies l) They were paid share capital amounting to at least 100,000 Ron; m) They do not belong to shareholders who hold or have held in the past two years previously application registration of the financing agreement for another registered company under Companies Act no. 31/1990, republished, as amended and supplemented, carrying or has carried out its activity for applying for funding.

9. STATE AID STAGES OF THE EVALUATION PROCESS APPLICATION PROCESS FOR FINANCING AGREEMENT Assessment Application for funding agreement is achieved in a single step, which Includes: • Application Registration for funding agreement, • Application Assessment for funding agreement in terms of submitted documents compliance, • Application Assessment for funding agreement in terms of the conditions and eligibility criteria, • Viability Assessment of the project investment and economic efficiency of the enterprise on the information and documents submitted in the business plan, • Information and / or documents request to complete the application for funding agreement, if any, • Application solving of the financing agreement, • Sending mail with acknowledgement of receipt for funding agreement or for rejecting letter of request for funding agreement, as applicable.

10. STATE AID • State aid is paid to companies that have received funding agreement, after performing partial or total eligible expenditure of initial investment under the plan investment and approved by the agreement for funding, within the limit of the annual budget approved.

11. STATE AID Thank you for watching this. More info frjacobs@telenet.be www.investromania.be