Parliament ratified the loan agreement with the International Bank for Reconstruction and Development (part of the World Bank Group) for implementing the Growth and Resilience Development Policy Operation. The state will access a loan of 37.3 million and will also benefit from a US$5 million grant, IPN reports.
The financial resources will be granted in the form of budget support and will be disbursed in one tranche. The maturity of the loan is 29 years, including the 9-year grace period, and the interest rate is variable.
The disbursement of the loan is conditional on 11 actions, all of which are carried out by the Republic of Moldova. According to the Policy Matrix of the agreement, the Parliament adopted a series of new normative documents connected to EU legislation: the Law on Energy Performance of Buildings, the Law on Climate Action and the Forestry Code. Also, amendments to a series of laws in the social, economic or energy sectors were adopted.
At the same sitting, the Parliament also ratified a grant agreement concluded with the International Bank for Reconstruction and Development and the International Development Association for co-financing the Growth and Resilience Development Policy Operation.
The financial resources will finance the needs of the state budget. It should be noted that the policy measures within the Growth and Resilience Development Policy Operation aim to ensure the population’s access to the labor market, adjust the legal framework on social assistance, align the legislation with the EU acquis in the field of competition and state aid, increase governance and competition in the energy sector, strengthen the financial-banking system, sustainable forest management and climate commitments.
The deadline for the disbursement of the $10.5 million is June 30, 2026.
The loan agreement and the grant agreement with the International Bank for Reconstruction and Development for implementing the Growth and Resilience Development Policy Operation were signed on July 11, 2024.
