Presentation to the Council of Romania’s recovery and resilience plan

A Recovery plan for Europe: The Recovery and Resilience Facility ROMANIA Financial Counsellors Working Party (FICO), 12 October 2021 Overview of Romania’s RRP 171 measures 15 components 64 reforms and 107 investments € 14.24 billion 507 Milestones in grants and & Targets € 14.94 billion in loans 2 Assessment summary 2. Addresses 3. Growth, 4. Do no 1. Balanced challenges resilience and response identified in social impact significant A A CSRs A A harm 5. Green 6. Digital 7. Lasting 8. Effective transition transition impact monitoring and implementation A A A A 9. Reasonable 10. Robust 11. Coherence and plausible control cost B estimates A systems A 3  Green transition Key reforms • Reforms to decarbonise 41% of the plan allocated the transport sector to climate objectives • Development of the 41% national circular economy strategy • Adoption of the National Forest Strategy Key investments • Ecological reconstruction of habitats and the • New renewable sources of energy conservation of species (EUR 975 million) • Railway modernisation (EUR 3.9 billion) DNSH • Greater energy efficiency in private No measure in the plan harms and public buildings environmental objectives (EUR 2.7 billion) • Improving waste management (EUR Cross-border projects 440 million), water and waste water • TEN-T rail and road infrastructure (EUR 968 million) corridors  Digital transition Key reforms • Digitalisation of the public administration • Transition to EU 2025 connectivity 21% of the plan allocated targets and stimulate private investment to digital objectives for the deployment of very high capacity networks 21% • Increasing digital competence for public Key investments in public and service and digital education throughout the life for citizens private sectors • Government cloud investment (EUR 561.7 million) • Digitalisation of education (EUR 1.1 billion) and businesses (EUR 564 Sector-specific investments million) • Development of an integrated e-Health • Planned IPCEI on microelectronics and telemedicine system (EUR 500 million) • Digitalisation of the public procurement • Deployment of the electronic system identity card for the Romanian • Digitalisation in the field of environment citizens (EUR 200 million) • Digitalisation of road and rail transport • Cybersecurity (EUR 172 million) • Connectivity (EUR 94 million) 5  Resilience Social, labour market & support to businesses Education & skills • Implementation of • In-depth restructuring of the a minimum social inclusion income education system through the and reform of minimum wage ‘Educated Romania’ project setting • Measures focused on • Pension reform for a sustainable and fairer pension system reinforcing early-childhood education services, reducing S • EIR 1.3 billion of financial early-school leaving and instruments to support businesses improving VET Governance • Improvements in infrastructure • Modernisation of public admin Health T • Anti-corruption measures • Improved governance of research • Building and refurbishment of and innovation public hospital infrastructure • Stronger tax administration • Building and refurbishment of • SOE governance ambulatory services, especially in rural and underserved areas 7  Social impact and equality Minimum inclusion Access to income health Upskilling Early-school und reskilling leaving prevention opportunities & VET for all adults improvement 7  Audit and control – Protection of the EU’s financial interests Audit and control systems: • Sufficient and robust • Largely based on ESIF arrangements and national strategic management system Procedures to protect • The Ministry of Investment and European against serious Projects (MIEP) was appointed the national irregularities in the use of coordinator for the preparation, negotiation funds: and approval of the Plan • The implementation of the Plan will be • Fraud ensured by line ministries through the • Corruption conclusion of financing agreements with • Double funding MIEP • The Audit Authority within the Romanian Court of Auditors will be in charge of audits - this body is the same audit authority as the one used for the ESI Funds Disbursement profile 9 Thank you