The IBRD will provide Moldova with a loan of 37.3 million euros and a grant of $5 million as part of the new program “Operation of Development Policies to Support Growth and Sustainability in Moldova.”
Funding will be provided for a new program, the Growth and Resilience Development Policy Operation (DPO), which will support the Moldovan government's efforts to assist refugees and households in the context of the aftermath of the war in Ukraine, while maintaining the dynamics of the long-term program of economic integration with the European Union and increasing resilience to climate change. The money will be used to increase flexibility in the hiring of young workers for light work and refugees for temporary or permanent work, to strengthen the independence of the Competition Council and relevant legislation in this area; to increase the minimum assistance limits and bring legislation in the field of transparency and integrity of the energy market into line with EU requirements; on internal regulation and development of investment policy of the Deposit Guarantee Fund in the banking system; improving the energy efficiency of buildings; increasing resilience to climate change and increasing sustainable forest management, etc. – the program is focused on 11 measures in total. The loan from the International Bank for Reconstruction and Development will be provided in the form of budget support for 29 years, including a grace period of 9 years. The interest rate on the loan will be variable. The commitment fee will be 0.25% of the outstanding amount and the one-time fee will be 0.25% of the loan amount. The loan will be accompanied by a grant of $5 million, which will be paid in one tranche. The agreement was negotiated in May, and the World Bank Group's Board of Executive Directors approved the program in mid-June. The date for signing the agreement has not yet been set; Finance Minister Petru Rotaru is authorized to sign it on behalf of Moldova. // 26.06.2024 — InfoMarket.
