Romania to get 177 mln euro CEB loan for prison system upgrade - finmin

The total net cost of the project is 221.5 million euro, of which 177 million euro will be covered by the loan contracted from CEB, while the remainder will come from the state budget, the finance ministry said in a draft bill published on Wednesday. The draft bill must be approved by parliament to take effect.

CEB said it has approved the loan in November 2018.

The loan agreement was signed on August 13 in Bucharest and on September 2 in Paris, the finance ministry said.

Romania will use the proceeds of the CEB loan for the construction of a high-security prison in Berceni for 1,000 inmates and a prison in Unguriu for 900 inmates. In addition, the CEB loan will support the construction of facilities for prison staff, including for training and professional development, in the cities of Pantelimon and Rodbav.

The project is expected to be implemented within about 6 years. The deadline for drawing loan amounts is May 31, 2025.

The project is part of the Romanian government's 2018-2024 strategy for easing prison overcrowding and improving detention conditions.

($=0.9031 euro)