The IMF will provide Moldova with additional financial assistance of SDR 113.35 million, which is equivalent to about $151 million
This is stipulated by the drafts of the relevant amendments to the laws on attracting external state loans from the IMF under the Extended Fund Facility (EFF) and the Extended Credit Facility (ECF), approved by the parliamentary Committee on Economy, Budget and Finance. State Secretary of the Finance Ministry Ion Gumene said that the IMF's financial assistance will be increased after it was found that Moldova has made significant progress during the last mission of the Fund. Thus, the loan granted by the IMF through the Extended Fund Facility is proposed to be increased by 94.3 million special drawing rights (SDRs). According to the authorities, the estimated amount of the increase will reach $126 million. The money will be paid in 12 equal installments after 4.5 years from the date of each withdrawal from the loan account. The loan will have a repayment period of 10 years and the interest rate will be floating. At the same time, the loan provided by the IMF under the Extended Credit Facility is proposed to be increased by SDR 19.05 million, which, according to the authorities, will amount to about $25 million. The loan will be repaid in 10 equal installments after 5.5 years from the date of each withdrawal from the loan account. The loan will have a 10-year repayment term and interest will be fixed every 2 years at 0% through 2025. Draft laws on providing additional financing from the IMF through the EFF and ECF will be proposed for consideration at the plenary session of the Parliament. As InfoMarket previously reported, the 40-month ECF/EFF program was approved by the IMF in December 2021 in the amount of SDR 400 million (about $558.3 million at that time), and in May 2022 the IMF decided to increase the total lending to SDR 594.3 million ($795.72 million at that time), of which about $608 million (SDR 449.1 million) has already been disbursed. In addition, the RSF program was approved in December 2023, with funding of about $175 million ($129.4 million SDR), of which about $44 million ($32.3 million SDR) had already been transferred. // 07.11.2024 - InfoMarket
