IMF Executive Board Approved US$178.7 million for the Republic of Moldova

On November 7, 2016 the Executive Board of the International Monetary Fund (IMF) approved three-year arrangements under the Extended Fund Facility (EFF) and the Extended Credit Facility (ECF) with the Republic of Moldova to support the country’s economic and financial reform program. The cumulative access under the arrangements is SDR 129.4 million (about US$178.7 million, or 75 percent of the Republic of Moldova’s quota).

An amount equivalent to SDR 26 million (about US$35.9 million) will be made available to the Moldovan authorities immediately following the approval of the arrangements. The remaining amount will be phased in over the duration of the program, subject to five semi-annual program reviews.

Following the Executive Board discussion on Moldova, Mr. Mitsuhiro Furusawa, Deputy Managing Director and Acting Chair, said: “The Moldovan authorities have developed a comprehensive program—to be supported by a three-year arrangement under the Extended Fund Facility and the Extended Credit Facility—to strengthen the economy and address key vulnerabilities. The program aims at reinforcing the recent economic stabilization and advancing a broad structural reform agenda, particularly in the financial sector. Strong commitment to sound policies and a significant improvement in economic governance will be crucial to raising long-term growth prospects.”

Mr. Pavel Filip, Moldovan Prime Minister, said: "Through this new program with the IMF, we commit ourselves to carry out the reform of the legal framework that will ensure prevention of money laundering, combating corruption and increasing transparency. The program also stipulates the actions that need to be undertaken in the National Bank of Moldova to impose enforcement of legislation, measures to strengthen corporate governance in banks, a balanced budget fiscal policy and to ensure debt sustainability. We will have more transparency and accountability in the implementation of investment projects with external funding.”

More information regardind the Project Summary and Moldovan recent economic developments you can find following the link.

via www.imf.org