On 2 June, the European Commission announced an Economic Recovery Plan for the Republic of Moldova, which will mobilize up to €600 million in macro-financial assistance, grants, and investments, supported by blending and financial guarantees. Over the next three years, this new funding will promote investment to boost a sustainable and inclusive recovery from the COVID-19 crisis in the country.
“The EU's Economic Recovery Plan constitutes an unprecedented effort to help the country on its path to recovery and drive an ambitious reform agenda forward, in the interest of its citizens. Ultimately, this plan illustrates the strength of our association and solidarity to fight together with the COVID-19 pandemic,” said European Commission President Ursula von der Leyen.
The Plan builds on five pillars: public finance management and economic governance; competitive economy, trade & SMEs; infrastructure; education & employability; and the rule of law & justice reform.
“We want to stimulate long-term socio-economic recovery and unleash the untapped economic potential of Moldova for the benefit of its citizens. We will invest in the economy, in connectivity, in education and employability,” said Commissioner for Neighbourhood and Enlargement Olivér Várhelyi. “The Plan will support indispensable structural reforms, including in the key areas of justice and the fight against corruption.”
Since the outbreak of the COVID-19 pandemic, the EU has demonstrated its solidarity with partners worldwide. In Moldova, over €127 million in bilateral grant support has been mobilized in 2020 alone to help the country cope with the initial shock of the crisis.
The Economic Recovery Plan is subject to strict conditionality. Investments will be made based on a ‘more-for-more' approach, with progress on structural reforms, in the field of justice and fight against corruption notably, as a prerequisite for financial assistance.
