Washington, D.C., October 19, 2005—The
International Finance Corporation, the private sector arm of the World
Bank Group, will provide a €14 million loan to Compania de Navigatie
Fluviala Romana Navrom S.A. (Navrom), Romania's largest private sector
river shipping company. Navrom is majority owned by Transport Trade
Services S.A., a large, privately owned Romanian freight forwarder and
transport company. IFC’s financing will be used to upgrade Navrom's
fleet of pusher boats, improve efficiency, reduce operating costs, and
help Navrom meet EU environmental requirements.
“IFC is delighted to help a leading Romanian transportation company expand
its business and improve its quality of service. Our investment provides
long-term financing, which is still difficult for Romania’s local companies
to obtain,” said Francisco Tourreilles, IFC's Director of Infrastructure.
Shahbaz Mavaddat, IFC’s Director for Southern Europe and Central Asia,
added, “IFC’s loan underlines our strong commitment to support the development
of Romania’s private sector as the country moves toward accession to the
Road traffic congestion in Germany and Austria is reaching volume levels,
making sea and river transport an increasingly attractive alternative.
Established in 1890, Navrom is the principal user of the port of
Constanta and is Romania’s largest river shipping company. This
former state-owned shipping company is a major owner of ships on the Danube,
with over 400 barges and pushers. Its primary business is the efficient
transport of bulk cargo. Navrom’s parent company, TTS (Transport
Trade Services) S.A, was founded in 1997 and has grown into one of Romania’s
largest logistics companies.
The mission of IFC is to promote sustainable private sector investment
in developing and transition countries, helping to reduce poverty and improve
people’s lives. IFC finances private sector investments in the developing
world, mobilizes capital in the international financial markets, helps
clients improve social and environmental sustainability, and provides technical
assistance and advice to governments and businesses. From its founding
in 1956 through FY05, IFC has committed more than $49 billion of its own
funds and arranged $24 billion in syndications for 3,319 companies in 140
developing countries. For more information, visit www.ifc.org.