Moldova will sign with Romania a new Intergovernmental Agreement on a grant of 100 million euros.
In particular, the Cabinet of Ministers of the Republic of Moldova at a meeting on Wednesday approved the signing of a new intergovernmental agreement on the implementation of a program of technical and financial assistance based on a grant of 100 million euros provided by Romania to Moldova. This document, which provides for the allocation of 100 million euros in the form of gratuitous assistance, is planned to be signed during a joint meeting of the governments of Moldova and Romania on February 11 in Chisinau. The new agreement will carry out the functions of the previous agreement, signed on April 27, 2010, which expired on March 28, 2021. Under the previous agreement, the previous governments of Moldova over the past years were able to absorb only about 35 million of the envisaged 100 million euros. The allocation of the remaining part of the money was stopped due to the position of the previous governments of the Republic of Moldova. The current government of Moldova managed to convince the Romanian side not only to resume the program, but also to restart it again, for the full amount of 100 million euros. Thus, the draft new agreement provides for the provision of gratuitous financial assistance to Moldova by Romania in the amount of 100 million euros for a period of 7 years, with the possibility of extension for a maximum of 3 years to complete current projects and activities. Accordingly, funds that are not used during the term of the agreement (10 years) will no longer be available. The agreement also includes a financial contribution from Moldova, which cannot be less than 5% of the eligible costs for each project and will be adjusted for each project. In addition, the Government of Moldova will have to ensure exemption from taxes, fees and any other payments for equipment and materials provided by the Romanian partners in the project, public or private, financed by the contribution. The agreement contains provisions aimed at developing cooperation between the two countries in the following areas: energy sector; transport and transport infrastructure; protecting the environment and combating climate change; public works and infrastructure; small and medium enterprises; media independence; public administration reform; internal affairs; health; education; culture and heritage; research, and tourism. At the same time, Moldova undertakes to take all necessary measures: to fully fulfill its obligations under the Association Agreement with the European Union, with an emphasis on continuing the reforms necessary for rapprochement with the EU, including in the field of justice, the fight against corruption, the business environment; cooperation in the implementation of projects implemented by Romania in Moldova; close cooperation with Romania for the implementation of sustainable investments of strategic importance, such as interconnections in the field of energy and infrastructure and, in this context, take all necessary measures related to the full implementation of the legislation on the liberalization of the energy market and building up the potential for the distribution of electricity and natural gas on the territory of the Republic of Moldova. In addition, Moldova should provide support for the consolidation and protection of the investment presence of Romania in Moldova, in accordance with the relevant agreements between the two parties and the international obligations of the Republic of Moldova, including by creating a transparent mechanism for informing about business opportunities. It is also about actions aimed at strengthening the commonality of language, culture and history. Prime Minister of Moldova Natalia Gavrilita said that the Cabinet of Ministers of the Republic of Moldova intends to use most of the funds from the new Romanian grant of 100 million euros for regional and local development, financing in the regions and villages of many social and infrastructure facilities, repair and modernization of kindergartens, schools, sewage systems, sewage treatment plants, street lighting, the implementation of social entrepreneurship projects, the launch of new enterprises with financial support in the form of a grant, etc. // 09.02.2022 — InfoMarket
