Romania To Pay RON737M Of Arrears Amassed By Roads Authority CNADNR Before July

05.10.2011 By Ioana Tudor

The Romanian Transport Ministry will pay by the end of June 737 million lei (about EUR181 million) of arrears amassed by national roads authority CNADNR due to investment projects, according to Romania’s draft letter of intent to the International Monetary Fund (IMF).

According to the document, the roads authority will sack 622 employees by end-June.

Jeffrey Franks, head of the IMF mission to Bucharest, said Monday the Government must continue structural reforms, particularly in the arrears sector.

"The arrears at the state companies represent a huge loss for the economic recovery," said Franks.

The roads authority will also set up a single traffic checkup authority.

Cost standards to build and maintain roads must be approved by the end of June and will apply to all new contracts, reads the document.

Early April, the Transport Ministry published a project regarding three cost standards, after the Government had approved 18 cost standards for all types of infrastructure.