The European Commission is disbursing 72.5 million euros in financial support to Moldova as part of the 4th tranche of the ongoing macro-financial assistance.
As noted in its message, the European Commission provided Moldova with a loan of 50 million euros on favorable terms, and by the end of this month another disbursement of 22.5 million euros will follow in a grant. This financial assistance will help Moldova cover part of its financial needs in 2024 and maintain macroeconomic stability, facilitating further reforms. After a deep recession in 2022, Moldova's economy showed modest growth in 2023, however, it remains impacted by Russia's war of aggression against Ukraine and continues to face serious energy security challenges, the European Commission said. The current tranche allocated by the European Commission is the 4th within the framework of the ongoing macro-financial assistance to Moldova. It was allocated after the European Commission concluded that the country had met the conditions of the policies agreed with the EU to disburse these funds. In particular, Moldova has improved public sector management and strengthened the independence of the National Bank. Moldova also strengthened the rule of law by passing a law on extraordinary evaluation (i.e., full vetting) of judges. Progress has also been made in the fight against corruption, thanks to improved cooperation between anti-corruption and law enforcement agencies. The country has also taken steps to support renewable energy and reformed its Customs Code, which is now fully compliant with the EU Customs Code. In addition, Moldova has adopted a National Economic Development Strategy, which articulates an ambitious vision for the country’s economic policy until 2030. It is emphasized that the macro-financial assistance allocated to our country is part of broader EU efforts to support Moldova after numerous challenges in recent years. It will also help Moldova advance on its European path, and it totals up to 295 million euros. // 09.07.2024 - InfoMarket
