Sweden will contribute $10 million to Moldova's Energy Vulnerability Reduction Fund.
This is provided for by an agreement signed with the United Nations Development Program (UNDP). The funds will allow the Moldovan government to provide compensation directly in the bill between November and December 2022 for at least 100,000 vulnerable households. Swedish Ambassador to Moldova Katarina Fried noted that the economies of European countries, and especially the economy of Moldova, have been seriously affected by the war in Ukraine and the ongoing manipulation of energy supplies. She stressed that in Moldova, people are struggling with the high cost of living, which affects the most vulnerable segments of the population. “In this situation, we all need to come together to be resilient and get through the winter well. Sweden is doing its part to help vulnerable households in Moldova cope with high energy bills. Sweden's $10 million financial contribution aims to help those most affected by the current energy and economic crisis,” she said. The Energy Vulnerability Reduction Fund was established by the Moldovan government with financial support from the European Union and the Slovak government. UNDP supported the creation of the fund, the development of an information system, the training of social workers, the establishment and operation of a call center, as well as the implementation of an information campaign dedicated to the Energy Vulnerability Reduction Fund. “We appreciate Sweden's partnership and significant contribution to the Energy Vulnerability Reduction Fund. This significant support will reduce the pressure on vulnerable groups and contribute to reducing inequalities exacerbated by the multifaceted crisis faced by Moldova in the areas of security, energy and the cost of living,” said Dima Al-Khatib, UNDP Resident Representative in Moldova. According to a UNDP study on the impact of rising energy costs on energy poverty, 60% of the Moldovan population suffers from energy poverty, spending more than 10% of the household budget on energy bills. Based on recent modeling, UNDP has estimated that the number of people living in poverty due to the effects of war, including high inflation, could more than triple to around 35% of the total population. The consequences for the people of Moldova could be even more severe, especially for the already vulnerable and poor.// 16.12.2022 — InfoMarket
