European Parliament to approve next week additional 145 million euros in macro-financial assistance for Moldova.
President of the European Parliament, Roberta Metsola, announced this at a joint press conference in Brussels with Moldovan Prime Minister Natalia Gavrilita. She noted that thus, the total amount of EU financial aid to Moldova to overcome the energy, economic and other crises will grow to 600 million euros. "The European Union will provide Moldova with 145 million euros of additional macro-financial assistance. Moldova needs this money. The European Parliament will fulfill its commitments and approve additional 145 million euros in macro-financial assistance for Moldova as soon as possible, which will raise the total amount of support for Moldova to 600 million euros. The first steps are scheduled for next week's plenary session in Strasbourg, because we know that these resources are urgently needed at this moment," the European Parliament president said. Roberta Metsola also thanked the Moldovan authorities for their firm stance against Russia's aggression against Ukraine, despite the difficult political and economic context. "I know that it is not easy in a very difficult political, economic situation, especially in the energy sector. But I want to reiterate: Europe is with you and will be there for you. We must be united and firm in our beliefs," said the head of the European Parliament. As InfoMarket agency earlier reported, the European Commission suggested doubling the current macro-financial aid to Moldova and increasing its total volume by 145 million euros - from 150 million to 295 million euros. As noted in the European Commission, additional assistance is needed by Moldova, as its economy has been severely affected by the consequences of the war in Ukraine, as well as the serious energy crisis that has continued since October 2021. The increase in macro-financial assistance will help the country to cover some of the additional financing needs in 2023, maintain macroeconomic stability and ensure further reforms. The current EC proposal will accompany the current IMF program for the country. As noted by the EC, the two additional disbursements under the proposed increase in macro-financial assistance will be strictly contingent on progress in the IMF program and on the implementation of new policy conditions to be agreed between Moldova and the EU and added to the existing Memorandum of Understanding. These policy conditions will address some of the major shortcomings identified in recent years in the Moldovan economy and economic governance system, as well as in other key areas, including good governance and the fight against corruption, the rule of law and energy security. Of the additional assistance of 145 million euros, up to 45 million euros will be provided in grants, and up to 100 million euros in loans under concessional financing terms. The amount is to be paid in two additional installments, scheduled for the third and fourth quarters of 2023, subject to the fulfillment of agreed conditions. The new EU macro-financial assistance package for Moldova entered into force on July 18, 2022, providing for 150 million euros, including 120 million euros in soft loans and 30 million euros in grants. // 07.02.2023 – InfoMarket
