30 May 2023 15:13

EU doubles macro-financial assistance to Moldova to 295 mln euros

CHISINAU. May 30 (Interfax) - The Council of the European Union decided at a meeting in Brussels on Tuesday to double the volume of macro-economic assistance to Moldova to 295 million euros, the EU delegation to Chisinau told Interfax.

"Council nearly doubles the EU's financial assistance to Moldova to a total of 295 million euros," it said.

"It increased this amount today by 145 million euros, which means that a total of 295 million euros will be available to Moldova," it said.

The Council adopted legislation in April 2022 enabling the EU to help Moldova financially with 150 million euros. Of the maximum amount of 295 million euros, the EU will provide up to 220 million euros in loans and up to 75 million euros in grants, the statement says.

"Given that there is still a significant residual external financing gap in Moldova's balance of payments for 2023, over and above the resources provided by the IMF and other multilateral institutions, the Council considered it necessary to increase the Union's macro-financial assistance provided to Moldova," it said.

"That increase is, under the current exceptional circumstances, considered to be an appropriate response to Moldova's request for support to its economic stabilization, in conjunction with the IMF program," it said.

The EU's macro-financial assistance is aimed at promoting Moldova's economic stabilization and supporting its structural reform agenda and supplements resources provided under the International Monetary Fund's financial arrangement, it said.

"Moldova can continue to count on the EU. We will continue to support Moldova, also financially. Given the current circumstances, it is appropriate that we double the funds, which we make available to Moldova," the statement quoted Swedish Finance Minister Elisabeth Svantesson as saying.

The Council of the EU's decision shall take effect on the third day after its publication in the Official Journal of the EU.