Romania government to approve rescue aid for state airline TaromChristian Fernsby ▼ | January 17, 2020
Romania’s Government discussed yesterday memorandum for granting in 2020 a rescue aid, supplemented by restructuring aid, to the national air carrier Tarom.
Air industry Tarom
Topics: Romania airline Tarom
The terms of the support provided by the Government aid or loan remain unclear.
Romania’s Government is ready to extend EUR 157 mln to Tarom, which has been struggling with financial and operational problems for many years, transport minister Lucian Bode said in December.
The solution was proposed by the external consultant contracted by Tarom, who recommended to the Government to grant the company a "rescue loan", on the short term, for the implementation of a restructuring plan, and a medium-term loan, in the form of a state aid, for the modernization of the commercial fleet.
The measures could have a financial result of USD 30 mln annually, according to the document consulted by Profit.ro. ■