The 1.8 billion euros growth plan will boost Moldova's economy and bring the country closer to EU membership by accelerating key reforms
This was said during a meeting between European Commissioner for Enlargement Marta Kos, Moldovan Prime Minister Dorin Recean, Economic Development and Digitalization Minister Dumitru Alaiba and other Moldovan officials. According to the EU Permanent Representation in Moldova, the Economic Growth Plan for Moldova, worth 1.8 billion euros, was the main topic of the today's meeting. It is the largest financial support package for Moldova from the European Union and will allow boosting the country's economy and bringing Moldova closer to the EU membership by accelerating key reforms. The discussions focused on the objectives, progress and next steps in the implementation of the economic, digital and social reforms included in this plan. At the same time, in a meeting with Moldovan President Maia Sandu and Prime Minister Dorin Recean, Marta Kos discussed Moldova's current problems, in particular the energy crisis in the region caused by Gazprom. The discussions focused on the social consequences of this crisis for the population and the need to gradually reduce the energy dependence on Russia. The EU Commissioner for Enlargement emphasized the strong support of the European Union in overcoming this crisis. The sides also discussed further steps in Moldova's European integration process. It was emphasized that the EU accession will grant the country access to diversified energy sources, means for infrastructure development, energy security and green transition. As the EU Permanent Representation in Moldova informed earlier, the EU financial assistance of 1.8 billion euros, provided by the European Union to Moldova within the Economic Growth Plan for Moldova, includes 300 million euros in grants and 1.5 billion euros in loans under very favorable conditions. For example, Moldova will start repayment after 10 years, from 2034, which will provide the economy with enough time to develop. The repayment period will be up to 40 years. The interest rate, which is approximately 3%, is much lower than the rate at which Moldova can currently receive loans. The EU is allocating funds for the following purposes: new roads, bridges and railroad infrastructure; energy security - to complete a new power transmission line and start the construction of 2 more, which will connect Moldova to the EU power grid; construction of 2 new well-equipped hospitals in Cahul and Balti; improving access to finance and supporting 25,000 enterprises, including small family businesses, etc. The EU is also financing the construction of a new electricity transmission line. // 04.02.2025 - InfoMarket
