The MPs on July 13 ratified the financing agreement between the Republic of Moldova of the International Fund for Agricultural Development and the Fiduciary Fund for the implementation of the Rural Resilience Project (IFAD VII), which was signed in Rome on April 11, 2017. The value of the project is of US$ 23.7 million, US$ 5.5 million of which is in the form of grant, IPN reports.

According to Deputy Minister of Agriculture and Food Industry Vasile Luca, the loan of US$ 18.2 million is repayable in 25 years, with a grace period of five years, at an interest rate of 1.25% and a service commission of 0.75%.

As part of the project, there will be built 24 water supply networks for irrigation intended for 75 agricultural producers, with a potential to irrigate 1,400 ha. More than 700 jobs will be created to cultivate high value added crops on irrigated areas, 280 of which will be permanent.

Also, there will be rehabilitated 12 road segments to facilitate the farmers’ access to production areas. These will benefit 50 enterprises and over 1,200 families from 12 villages. About 420 farmers will benefit from grants to implement climate change resilience measures, while over 450 micro entrepreneurs, 150 young entrepreneurs and at least 20 SMEs will get loans in preferential conditions.

The treaty will take effect after the ratification law is promulgated by the President. The implementation period of the agreement is of six years, until 2022.