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Moldovan parliament has ratified the agreement with the EBRD, providing for the redistribution of tranches from a 150 million euros loan for projects for the construction and rehabilitation of roads in Moldova.

Moldovan parliament has ratified the agreement with the EBRD, providing for the redistribution of tranches from a 150 million euros loan for projects for the construction and rehabilitation of roads in Moldova.

In particular, the MPs approved in the second reading the draft law on the ratification of the agreement on amendment N2 to the Agreement with the EBRD on a 150 million euros loan for a project for the construction and rehabilitation of roads. As Deputy Prime Minister, Minister of Infrastructure and Regional Development Andrei Spinu noted earlier, the document was signed on May 18, 2021 and is of a technical nature. It was prepared by the European Bank for Reconstruction and Development at the request of the government with the aim of reallocating the tranches, according to the revised estimates, to ensure full project implementation, as well as to facilitate access to the funds needed to finance the repair of the national road network and the construction of bypass roads in some settlements. It is planned that the Agreement on Amendment N2 will contribute to the full implementation of the “Moldova Road Rehabilitation Project IV”. The new agreement with the EBRD does not provide for raising additional resources from the lender or changing the terms of financing, but proposes reallocation of amounts within the tranches according to updated estimates. In addition, the project excludes the repair section of the Soroca-Arionesti road R9, but includes the construction of a bypass road in Vulcanesti, and also provides for the repair of the R34 Hincesti-Leova-Cantemir road according to new, revalued projects. Andrei Spinu explained that after the termination in 2018 of contracts for the reconstruction of the Soroca-Arionesti and Hincesti-Leova-Cantemir roads, signed with the Italian company Serenissima, which later turned out to be financially insolvent, the road sections were revalued and redesigned, having received a significant increase in the funds required for the implementation of projects. The repeated auction led to a shortage of funds required to purchase works for the Soroca-Arionesti section (23 million euros), so this section was replaced by the construction of a bypass road in Vulcanesti with an estimated cost of 10.5 million euros. According to the Ministry of Infrastructure and Regional Development, 46.25 million euros were allocated from the total loan amount as of October 1, 2021 (30.835% of the total loan amount). The 150 million euros loan agreement between Moldova and the EBRD for the construction and restoration of roads in the Republic of Moldova was signed on June 28, 2013. // 28.10.2021 – InfoMarket

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