The EBRD is allocating 150 million euros to modernize roads in Moldova, as part of a large-scale program for which it previously provided more than 340 million euros.
The European Bank for Reconstruction and Development announced this, noting that it is providing Moldova with a loan of 150 million euros for the restoration of the country’s main roads, including the ring road around Chisinau. The EBRD loan will allow the government to modernize and expand the M2 Chisinau ring road, modernize the M1 Chisinau - Leuseni section, and purchase specialized equipment and software for the road asset management system. These two roads are part of the Trans-European Transport Network (TEN-T), which turns Moldova into a gateway between the European Union in the west and countries in the east. The EBRD's investment will support the Moldovan government's efforts to bring key roads to standards that will enable economic growth, regional integration and trade. The improvement of the two transport lines will improve transit connectivity between Moldova and neighboring Ukraine and Romania, in line with the EU Solidarity Lanes initiative. As the EBRD noted, the investments mentioned are part of a large-scale road rehabilitation program financed by the EBRD, under which more than 340 million euros were provided to Moldova. As part of the project, the EBRD is also helping the government develop a national e-mobility strategy to support the deployment of electric fleets and charging infrastructure in the country. In November 2023, the European Commission recommended that the EU Council begin negotiations on accession to the EU with Moldova, which received EU candidate status in June 2022. The EBRD indicated that in order to ensure sustainable economic growth, despite Russia’s war with Ukraine, it is extremely important so that Moldova's road sector provides greater access to EU markets, while also maintaining access to its traditional markets in the east. Although the war and sanctions imposed by the EU against Russia have led to the severance of these traditional trade links, Moldova's strategic location is of great importance for ensuring transport and constant trade flows from Ukraine to Romania, to the Danube through the Moldovan port of Giurgiulesti and to other EU countries. Safe, well-maintained and modern road networks that meet international standards are key to this. The EBRD is the largest institutional investor in Moldova. Last year alone, the EBRD committed €350 million to Moldova, supporting energy security, improved infrastructure and connectivity, and access to finance for the private sector, with a particular focus on small and medium-sized enterprises. Since the start of Russia's full-scale invasion of Ukraine, the EBRD has provided Moldova with almost €1 billion to help mitigate the economic impact of the war on the country's economy. Overall, the EBRD has invested more than €2.2 billion in 170 projects in the country to date, with 40% of its portfolio in sustainable infrastructure.//25.01.2024 – InfoMarket.
