The Parliament of Moldova approved in the second reading draft laws on attraction from the IMF within the framework of a new program of external state loans to finance the state budget in the amount of $440 million.
As previously reported, under the new 40-month program approved by the International Monetary Fund on December 20, 2021, funded through the ECF (Extended Credit Facility) and EFF (Extended Financing Facility) lending facilities with a total disbursement of approximately $558.3 million, approximately $440 million will be attracted in the form of external government loans to finance the state budget. In particular, within the framework of the ECF mechanism to finance the needs of the budget, $290 million will be received, which will be returned in 12 equal tranches after 4.5 years from each payment made from the loan account. The loan repayment period is 10 years. A floating interest rate will be applied, which as of December 20 was 1.05% per annum. The service fee will be 0.5% of the amount paid, the commitment fee - 0.3%. At the same time, $147 million will be allocated under the EFF mechanism, which will be returned in 10 equal tranches after 5.5 years from each payment made from the loan account. The interest rate on the loan in question will be set every 2 years and will be 0% until 2023. IMF loans will be used to finance the needs of the budget. Priority spending will include spending on roads, the energy sector, water supply, efficient investments in healthcare, education, and the creation of new jobs.// 21.01.2022- InfoMarket.
