Spinu’s grand project “European Village” risks being left in limbo. The Ministry of Finance: There are insufficient funds

The National Program “European Village” has selected 612 projects, which account for 82% of all submitted applications. Nevertheless, the implementation of these projects remains uncertain due to insufficient funding. The Ministry of Finance has indicated that the 2024 budget lacks the necessary funds to support all these projects.

The proposed resolution intended to add 612 projects, totaling around 2.8 billion lei, to the Unique Program Document (UPD) for 2022-2024. However, the 2024 State Budget Law allocates only 581.5 million lei to the National Fund for Regional and Local Development (NFRLD). By July 31, 2024, authorities had already spent 340 million lei, or 58.5% of the allocated amount.

The Ministry of Finance proposes that, in the absence of a secure funding source for 2024, the DUP should only include projects that are currently underway to ensure their completion. Additionally, it suggests distributing the newly selected projects between the current UPD and the one to be developed for 2025-2027 to secure realistic budgetary funding.

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The Ministry of Infrastructure disagrees with this proposal, arguing that including the projects in the 2025-2027 DUP would delay their initiation and implementation, contrary to the deadlines set by Decision No. 152/2022. The Ministry of Infrastructure argues that the Annual Financing Plan 2024 must list the projects to begin the procurement procedures.

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