{"id":448565,"date":"2020-07-20T18:49:03","date_gmt":"2020-07-20T18:49:03","guid":{"rendered":"http:\/\/www.moldova.org\/en\/?p=448565"},"modified":"2020-07-21T18:10:06","modified_gmt":"2020-07-21T18:10:06","slug":"ceb-and-moldova-will-sign-a-e70-million-loan-agreement-to-fight-the-coronavirus-pandemic-and-its-consequences","status":"publish","type":"post","link":"https:\/\/www.moldova.org\/en\/ceb-and-moldova-will-sign-a-e70-million-loan-agreement-to-fight-the-coronavirus-pandemic-and-its-consequences\/","title":{"rendered":"CEB and Moldova will sign a loan agreement to fight the coronavirus pandemic. One more loan agreement was signed with the EU"},"content":{"rendered":"Reading Time: <\/span> 2<\/span> minutes<\/span><\/span>

The Government<\/strong> of the Republic of Moldova<\/strong> approved, on July 20, the signing of a loan agreement between Moldova and the Council of Europe Development Bank (CEB)<\/strong> worth 70 million euro<\/strong><\/span>. The money will be directed to the implementation of the project “Emergency Response to COVID-19 and Support for Micro, Small and Medium Enterprises”.<\/em><\/p>\n

In such conditions, the Government submitted to the CEB a request by which it expressed the interest in contracting a loan with an estimated value of up to 70 million euro.<\/p>\n

According to an announcement<\/a> of the Ministry of Finance, the loan should be divided in 2 components and will represent an efficient and prompt response to the needs of the Republic of Moldova in the fight against COVID-19, as well as the consequences of the pandemic.<\/p>\n

A share of 40 million <\/strong>euro\u00a0will be provided to the healthcare system, for acquisition of medical equipment, consumables, rehabilitation and transformation of medical units, mobilisation of additional expertise, in order to ensure emergency response to COVID-19. Another 30 million<\/strong> euro will be focused on the support for micro, small and medium-sized enterprises (MSMEs). The funds will be addressed to the working capital and investment needs of MSMEs affected by the crisis, helping them to stay afloat.<\/p>\n

The Government of the Republic of Moldova estimates that the financial resources could cover the expenditures related to COVID-19 in the period between 2020 and 2022. Therefore, the loan disbursement deadline should be June 30, 2022.<\/p>\n

The maximum maturity of the loan for the healthcare component is 15 years, and for the MSMEs’ support component – 7 years.<\/p>\n

**<\/p>\n

(UPDATE) Also, the Ministry of Finance announced<\/a> that another\u00a0100 million euro<\/strong><\/span> loan agreement\u00a0was signed\u00a0between Moldova and the European Union<\/strong> on July 21.<\/p>\n

According to the Macro-Financial Assistance Agreement, the funds are aimed to reduce “the country’s external financing constraints, to alleviate the balance of payments and budget needs, as well as to support the Republic of Moldova in the current financial situation.”<\/em><\/p>\n

The loan will be granted in two instalments. The first disbursement depended on the Memorandum that was already signed, while the second disbursement is conditioned on the progress made in implementing the Memorandum provisions.<\/p>\n

The loan maturity is maximum 15 years.<\/p>\n

Photo:\u00a0ec.europa.eu<\/p>\n","protected":false},"excerpt":{"rendered":"

Reading Time: <\/span> 2<\/span> minutes<\/span><\/span>The Government of the Republic of Moldova approved, on July 20, the signing of a loan agreement between Moldova and the Council of Europe Development Bank (CEB) worth 70 million euro. The money will be directed to the implementation of the project “Emergency Response to COVID-19 and Support for Micro, Small and Medium Enterprises”. In […]<\/p>\n","protected":false},"author":31,"featured_media":448566,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[5,6],"tags":[802,642,168,35,803,27,608,804],"class_list":["post-448565","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-economy","category-important-en","tag-council-of-europe-development-bank","tag-covid-19","tag-european-union","tag-important","tag-loan-agreement","tag-moldova","tag-pandemic","tag-response"],"content_social_share":"Reading Time: <\/span> 2<\/span> minutes<\/span><\/span>

The Government<\/strong> of the Republic of Moldova<\/strong> approved, on July 20, the signing of a loan agreement between Moldova and the Council of Europe Development Bank (CEB)<\/strong> worth 70 million euro<\/strong><\/span>. The money will be directed to the implementation of the project “Emergency Response to COVID-19 and Support for Micro, Small and Medium Enterprises”.<\/em><\/p>\n

In such conditions, the Government submitted to the CEB a request by which it expressed the interest in contracting a loan with an estimated value of up to 70 million euro.<\/p>\n

According to an announcement<\/a> of the Ministry of Finance, the loan should be divided in 2 components and will represent an efficient and prompt response to the needs of the Republic of Moldova in the fight against COVID-19, as well as the consequences of the pandemic.<\/p>\n

A share of 40 million <\/strong>euro\u00a0will be provided to the healthcare system, for acquisition of medical equipment, consumables, rehabilitation and transformation of medical units, mobilisation of additional expertise, in order to ensure emergency response to COVID-19. Another 30 million<\/strong> euro will be focused on the support for micro, small and medium-sized enterprises (MSMEs). The funds will be addressed to the working capital and investment needs of MSMEs affected by the crisis, helping them to stay afloat.<\/p>\n

The Government of the Republic of Moldova estimates that the financial resources could cover the expenditures related to COVID-19 in the period between 2020 and 2022. Therefore, the loan disbursement deadline should be June 30, 2022.<\/p>\n

The maximum maturity of the loan for the healthcare component is 15 years, and for the MSMEs’ support component – 7 years.<\/p>\n

**<\/p>\n

(UPDATE) Also, the Ministry of Finance announced<\/a> that another\u00a0100 million euro<\/strong><\/span> loan agreement\u00a0was signed\u00a0between Moldova and the European Union<\/strong> on July 21.<\/p>\n

According to the Macro-Financial Assistance Agreement, the funds are aimed to reduce “the country’s external financing constraints, to alleviate the balance of payments and budget needs, as well as to support the Republic of Moldova in the current financial situation.”<\/em><\/p>\n

The loan will be granted in two instalments. The first disbursement depended on the Memorandum that was already signed, while the second disbursement is conditioned on the progress made in implementing the Memorandum provisions.<\/p>\n

The loan maturity is maximum 15 years.<\/p>\n

Photo:\u00a0ec.europa.eu<\/p>\n

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