Moldova and the European Union signed an agreement on financing the “Plan of Economic Growth of Moldova.” The Prime Minister of Moldova Dorin Republic announced this on his page in X on Friday, May 9.
Signatures under the document were set by the Richan and the European Commissioner for the extension of Marta Kos, who arrived in Chisinau on an official visit.
“On the day of Europe, EU support and national unity are again united in the name of the European future Moldova,” said the Republic.
The head of the Moldavian Cabinet called an agreement with a historical step that ensures unprecedented EU financing to modernize Moldovan institutions and economic growth.
The plan of economic growth for the Republic of Moldova is the largest financial package ever intended for the country.
The Republic previously stated that financial resources in the amount of 1.9 billion euros provided in terms of growth were provided by the Republic of Moldova to build a successful life.
“It is important to note that we have never had so many financial resources in our roads, schools, kindergartens, hospitals, local infrastructure, business environment, agriculture. We are talking about 1.9 billion euros, which were provided to the Republic of Moldova by our friends, European Union and Member States so that we can build our lives here,” Dorin Rican said.
The head of government emphasized that financing is provided on favorable terms, and European money will be used for the development of the Republic of Moldova.
“from this package of 1.9 billion lei 400 million is free financing, that is, grants, and another 1.5 billion lei are loans. We have a grace period of 10 years, so during the first 10 years we do not need to return the contributions. The total term of lending is 40 years, so we have 40 years to use these loans and develop and be able to repay them. The percentage rates are very low. These are very favorable conditions for the Republic of Moldova to use this money for development, ”said the Republic.
The plan of economic growth of the Republic of Moldova was published in October 2024 by the chairman of the European Commission Ursula von der Lyain. The document received political support of the European Parliament.
At a meeting on May 7, the government approved the reform program, which is the basis of the “Growth of the Republic of Moldova” and will provide access to 1.9 billion euros of financial support from the European Union. According to the authorities, the reform and investment program will lead to strengthening the economy, raising wages and improving the quality of life.
According to the authorities, the implementation of this plan will ensure economic growth of at least 5% per year. At the same time, the plan of economic growth will contribute to the preparation of the Republic of Moldova for the entry into the EU and the development of funds preceding the entry, which will be laid down in the budget of the new European financial cycle of 2028-2034