“The banks that still have ceilings will use them. The additional ceilings will be redistributed to the banks that already work in the programme or to other banks,” said Vladescu. The total ceiling of guarantees is 700 million euros.
According to the Minister of Finance, the people who will have a new house built and will benefit by the guarantee amounting to 70,000 euros (75,000 euros for the ones who associate) must own the land and a construction authorization issued after the Government resolution on the new stage of the programme has been published in the Official Gazette. The Government resolution will be published in the Official gazette on Thursday or Friday at latest, said Vladescu.
These persons will also get the guarantee and the bank will give them the money considering the stage of the work, not in the end. “It will be difficult to work illegally as banks pay the money for the work done and they will have to produce the execution documents. The banking sector will want to work with a general entrepreneur for the building in question,” said the official of the Ministry of Public Finance.