BID and EIF sign Memorandum for implementation of RoBOOST

The Investment and Development Bank (IDB) and the European Investment Fund (EIF) have signed a Memorandum of Understanding to create RoBOOST, a new Fund of Funds aimed at expanding access to financing for start-ups, SMEs and companies in different stages of growth in Romania, according to a press release.The Memorandum strengthens the strategic partnership between the IDB and the EIF, already built through collaboration within European initiatives, such as the Three Seas Initiative Innovation Fund and the Three Seas Initiative Infrastructure Fund. The new project will contribute to the development of the IDB's expertise in the field of investment funds, stimulate investments in the Romanian economy and support the development of the national ecosystem of private equity and venture capital funds."This fund is a premiere for Romania and a project that we initiated and supported from the beginning, both through dialogue with the European Investment Fund, the European Investment Bank and Nadia Calvino, President of the EIB, and by creating the legal framework that allows the Bank for Investment and Development to initiate and participate in such investment vehicles. This mechanism shows that the Romanian state is starting to use the financial instruments at its disposal more intelligently: not just classic budgetary allocations, but public capital that mobilizes private and institutional capital for Romanian companies. Through RoBOOST, the IDB is consolidating its role as a national development bank, and Romania is taking an important step in developing the private equity and venture capital market."This fund is a first for Romania and a project I have initiated and supported from the very beginning?both through dialogue with the European Investment Fund, the European Investment Bank, and EIB President Nadia Calvi?o, and by establishing the legal framework enabling the Investment and Development Bank to initiate and participate in such investment vehicles. This mechanism demonstrates that the Romanian state is beginning to make smarter use of the financial instruments at its disposal: moving beyond traditional budget allocations to utilize public capital that mobilizes private and institutional capital for Romanian companies. Through RoBOOST, the BID strengthens its role as a national development bank, and Romania takes a significant step forward in developing its private equity and venture capital market. In a volatile international economic climate, we need modern mechanisms to channel funding to start-ups, SMEs, growth-stage companies, and strategic projects. It sends a signal that Romania, together with its European partners, can create investment instruments capable of fostering innovation, competitiveness, and long-term economic growth," stated Minister of Finance Alexandru Nazare in the press release."This partnership reflects the role of the IDB as a national development bank in building a more solid investment market in Romania. We are thus building the infrastructure through which capital can reach Romanian companies with growth potential more efficiently. For entrepreneurs, RoBOOST means access to financing adapted to the stages of business development, and for the Romanian economy it means a more mature, more predictable investment market, capable of supporting innovation, competitiveness and long-term development," declared Raluca Nicolescu, General Director of the Investment and Development Bank.RoBOOST has the potential to mobilize public and private capital for the benefit of Romanian companies and to facilitate access to financing for start-ups, small and medium-sized enterprises, companies in growth and expansion stages, as well as for infrastructure projects, including in the field of renewable energy and energy efficiency."The signing of this Memorandum of Understanding marks both a continuation of our long-standing collaboration with Romania and an important step forward in our partnership with the Investment and Development Bank. In partnership with the Government of Romania, the EIF has already supported around 30 equity funds to invest in Romania, contributing to record levels of investment and fundraising. We also support Romania's potential for integration into pan-European capital markets through programmes such as the European Tech Champions Initiative 2.0. Together with the IDB, we aim to capitalise on this favourable moment and further support the development of the Romanian investment ecosystem," said Marjut Falkstedt, Chief Executive of the European Investment Fund.The "fund of funds" model will contribute to the development of the Romanian investment ecosystem by attracting institutional and private capital and by expanding the financing capacity of fund managers. In the next stages, the EIF and the IDB will sign a bilateral agreement to create the fund of funds, and the EIF will select the financial intermediaries (equity funds).The Investment and Development Bank is the only development bank 100% owned by the Romanian state, through the Ministry of Finance, and was created at the end of 2023, through the National Recovery and Resilience Plan.The European Investment Fund (EIF), part of the European Investment Bank Group, is the European institution specialized in providing guarantees and equity investments to improve access to finance for small and medium-sized enterprises and start-ups across Europe. In 2025, the EIF committed EUR 7 billion to private equity, venture capital and infrastructure funds. In Romania, the EIF recently successfully completed the allocation of resources allocated from the PNRR to 20 equity funds through the Recovery Equity Fund, with a total budget of EUR 400 million.