The government will work with experts of the International Monetary Fund (IMF) on designing Romania’s first Sovereign Fund for Development and Investment (FDSI), according to the minister of economy, Mihai Tudose.

Tudose met with an IMF delegation led by Reza Baqir to talk about the fields in which the international financial institution could provide support to local authorities.

“FDSI, the pillar project, will act as instrument through which investment projects will be financed in areas such as infrastructure, energy, agriculture, healthcare and other competitive sectors,” said Tudose, according to a statement.

The Ministry of Economy said that the IMF made a series of recommendations on the structure of the fund, such as the appointment of a professional management team, a high degree of transparency regarding the activity of the fund and the coordination of the investments made by the state.

According to the initial plans of the ruling coalition PSD-ALDE, the sovereign fund should grow to EUR 10 billion in a 4-year period. The FDSI will include the most valuable state-owned companies and it will be used to finance the development of hospitals and transport infrastructure projects, but it is still early to know the investment strategy of the fund.

Meanwhile, minister Tudose and the IMF team have also talked about the insolvency draft bill for individuals and the investment and restructuring programs for companies controlled by the Ministry of Economy.