Moldova to receive $220 million from the US to strengthen energy security
The Republic of Moldova will receive financial resources in the form of a grant to strengthen energy security and reimburse expenses for electricity purchases. In this regard, the Cabinet of Ministers approved the initiation of negotiations and the signing of the Fifteenth Amendment to the Development Goal Assistance Agreement between the Government of the Republic of Moldova and the Government of the United States for Sustainable Economic Growth, anchored in European Integration.
The amendment provides for an additional allocation of $220 million as a non-reimbursable contribution under the Agreement to strengthen Moldova's energy security by connecting key elements of the energy sector to European systems.
At the same time, the Amendment provides for the establishment of terms and conditions for the non-reimbursable budgetary support of $76.8 million to be provided to the US Agency for International Development through the World Bank Trust Fund. This budget support will provide reimbursement for electricity procurement from suppliers in Ukraine and ENTSO-E countries for the period September 2022 to March 2023.
Following the additional allocations outlined, the total budget of the Agreement will amount to $392.7 million - the US Government's total non-reimbursable contribution under the preneed treaty, of which over $80 million has already been drawn down.
This amendment will be signed by the Ministry of Finance and USAID and subsequently ratified by the Moldovan Parliament.
