NATO member Romania signs $920 mn defence loan with US

(ANSA-AFP) - BUCHAREST, SEP 25 - NATO member Romania, which borders Ukraine, on Wednesday signed an agreement with the United States for a $920-million loan to modernise its military capabilities. The eastern European Black Sea nation, which has gained in strategic importance since Russia invaded Ukraine in 2022, has been looking to increase its defence purchasing. The procurements to be financed with the loan are meant "both to fulfil the commitments undertaken as a result of being a NATO and EU member state and to deter a possible aggression against Romania," the government said. At the signing ceremony in Bucharest on Wednesday, US ambassador Kathleen Kavalec said the loan marked "our shared commitment to ensure peace, stability and security in the region". The loan -- with lower interest rates than those at which the Romanian state usually borrows -- will have a repayment period of 12 years. (ANSA-AFP).