Canada will grant Moldova a loan of 120 million Canadian dollars (about 79 million euros) to finance the state budget needs
This is stipulated by the relevant credit line agreement signed by the parties within the framework of the 5th edition of the Ministerial Conference of the Moldova Partnership Platform, taking place in Chisinau. Finance Minister Victoria Belous said that the goal of this credit agreement is to finance the needs of the state budget and to implement the program proposed to Moldova by the World Bank, “Moldova - Supporting Growth and Resilience Development Policy Operation Project”, which was signed on 11 July 2024 between Moldova and the International Bank for Reconstruction and Development, a member of the World Bank Group. Thus, the disbursed funds will be used to support the budget to increase the resilience of refugees and households; promote sustainable growth through increased competition and private sector-led economic growth; and support Moldova's climate resilience and green energy transition. The loan has a repayment period of 10 years, including a grace period of 4 years. The loan will be repaid annually and the interest rate is fixed and equal to the rate at which the Government of Canada borrows, determined on the basis of the zero-coupon yield curve of Canadian government bonds published by the Bank of Canada, effective as of the date of signing the agreement. For example, at the end of May this year, this interest rate was 3.73042%. After signing, the loan agreement should be ratified by the Moldovan Parliament. // 17.09.2024 - InfoMarket.
