EU pledges €1.9 billion for Moldova’s infrastructure and development
Immediately after the European Union's financial support of 1.9 billion euros for the Republic of Moldova takes effect, Moldovan authorities will be able to submit a plan to the European Commission outlining how the funds will be used.
Once the Commission approves it, 18 percent of the total amount will be released as pre-financing, as stated by MEP Siegfried Mureșan. The authorities in Chișinău have stated that the funds will be directed toward infrastructure and social development projects.
“We have managed to secure two essential things for Moldova: first, more money, and second, faster delivery. We achieved this by increasing pre-financing,” explained Mureșan during a press conference. Initially, pre-financing was set at 7%, but it was later increased to 18%.
Igor Grosu, the Speaker of the Parliament in Chișinău, clarified that the government will present a list of specific projects that will be funded by this financial package. “Examples include the Chișinău bypass, bridges over the Prut River, investments in rail infrastructure, and the construction of two major hospitals in Bălți and Cahul. In agriculture, thousands of recipients will benefit from funding for business projects,” he said. The Speaker suggested that the aim of these investments is “to double the GDP, create more jobs, and improve the quality of life.”
The law will be put to a final vote in the European Parliament in early March, and the first installments are expected to arrive in the Republic of Moldova by this spring.
It is worth noting that the European Parliament (EP), the European Commission (EC), and the European Council have reached an agreement on the Growth Facility for the Republic of Moldova. The announcement was made by Romanian MEP Dan Barna, who called the EU's decision a "historic moment" for the country.
Of the 1.9 billion euros, 520 million will be allocated as grants, with the remainder provided as low-interest loans.
The European Parliament and EU member states have agreed on a new support package for Moldova. This mechanism is designed to assist the Republic of Moldova in its EU accession process, implement EU-related reforms, and achieve economic convergence with the EU. The facility will also contribute to the implementation of the EU's Global Strategy for Moldova's energy independence and resilience, aiming to reduce Moldova's dependency on Russia for energy and fully integrate it into the EU energy market.
Translation by Iurie Tataru
