November 17 (SeeNews) - Romania's state-owned export-import bank, Exim Bank, said that it has granted a financial package worth 11.5 million euro ($12 million) to local producer of plastic injected components Farplas & Smart Solutions.
The financial package will enable the company cover its working capital needs and develop a new production line for plastic injection markers, EximBank said in a press release on Wednesday.
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"The automotive sector is a strategic one for the Romanian economy, as it has developed rapidly, and almost all cars manufactured in Europe today have at least one component produced in Romania" said Traian Halalai, Executive President of Exim Bank.
Exim Bank will issue a guarantee on behalf of the state, which would cover 50% of the loan.
Farplas & Smart Solutions is a joint venture established in 2020 by Turkish automotive components company Farplas Otomotiv Sanayi Anonim Sirketi and Romanian plastic components producer Smart Plast Solutions. The company is a supplier for the Renault Group and as of this year started collaborating with the Ford factory in Craiova.
Exim Bank was founded in 1992 and dedicates its financial instruments exclusively to the corporate segment. Romania's finance ministry owns 95.27% of Exim Bank.
($=0.9587 euro)