Moldova will receive about $50 million in grant aid from the U.S. to overcome the energy crisis and strengthen energy security.
Specifically, Moldovan Finance Minister Dumitru Budianschi and USAID Moldova Mission Director Scott Hocklander signed an amendment to the Development Objective Agreement (DOAG) that will allow $30 million in financial assistance provided to Moldova in the form of a grant to be used to offset the cost of purchasing electricity. At the same time, this amendment will unblock $19.5 million in aid for projects to strengthen Moldova's energy security and reduce its dependence on Russia. As InfoMarket previously reported, Moldova and the U.S. previously agreed to sign the 14th Amendment to the Agreement on Development Goals for Sustainable Economic Growth Based on European Integration, concluded in 2016. This amendment provides a $19.5 million grant to reduce dependence on Russia by connecting key elements of Moldova's energy sector to European systems, as well as to attract investment in local energy production, diversify natural gas supplies and improve energy efficiency. The amendment also envisages establishment of terms and conditions for a $30 million non-reimbursable budget aid to be provided by the United States Agency for International Development (USAID), which will be used to overcome the energy crisis in the electric power sector. Specifically, the funds will be used to cover electricity purchases from Ukrainian suppliers in May-September 2022. The total amount of non-refundable aid as a result of this agreement amendment will be approximately $172.7 million // 08.11.2022 - InfoMarket
