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Ministries may approve setting up state-owned companies in Romania and abroad
At a plenary sitting on Tuesday, the Chamber of Deputies passed Emergency Ordinance 5/2023, which establishes that the government may approve the establishment, on behalf of the state, of state-owned companies in Romania and abroad at the proposal of ministries.
The ordinance is designed to regulate the establishment of the possibility for the government to approve the establishment, on behalf of the state, of state-owned companies in Romania and abroad, in compliance with the provisions of the state-aid legislation, at the proposal of the ministries with a jurisdiction over the main object of activity of the company or under whose authority the company operates.
The ministries are also allowed to increase the share capital of the companies in which they are shareholders on behalf of the government, in compliance with the state aid legislation.
According to the bill, the criteria taken into account when setting up a company are: respecting the general interest of the state in the business area of the newly established company; complying with the principle of economic efficiency in establishing the business area of the newly established company; following the principles of a market economy in the operation of the new company; guaranteeing equal and non-discriminatory treatment of business operators in acquiring products or services necessary for carrying out their business dealings; transparency in the allocation of public funds.
The ordinance has already been adopted by the Senate, and the Chamber of Deputies is the decision-making body in this case.