The Republic of Moldova will benefit from the largest package of support ever granted by the European Union – €1.9 billion for reforms and investments between 2025-2027, with an advance of more than €300 million, delivered in the first year, IPN reports.
The authorities explained that the funds will be directed towards modernizing infrastructure, strengthening institutions and developing the economy, with the aim of boosting annual economic growth by at least 5%. The growth plan, approved by the government and backed by the European Commission, includes massive investments in education, health, energy, agriculture, public services and support for entrepreneurship.
The European Union’s financial support, totaling €1.9 billion, is structured in two components, €400 million in the form of non-reimbursable grants and €1.5 billion in the form of long-term loans with favorable financial terms. The loans will be granted for 40 years, with a 10-year grace period and interest rates ranging from 0.1% to just over 3%.
The Growth Plan, formally launched by the European Commission in October 2024, is a special support mechanism for accession candidate countries and provides, among other things, a significant increase in pre-financing.
Prime Minister Dorin Recean explained that the money will be used to modernize roads, build regional hospitals, mass afforestation of land and support farmers by rehabilitating irrigation systems. The plan also foresees the creation of 100 000 new jobs, the extension of sewage and drinking water networks for 1.5 million people and the development of 5000 new businesses.
The implementation of this support depends on a clear structural reform agenda. According to the deputy director of the Institute for European Policy and Reform, Mihai Mogaldea, EU funds will be allocated according to the progress made by the government in areas such as justice, media, human rights and democratic governance.
“The European Union has set clear conditions for the disbursement of each tranche. These include the functioning of a pluralist democratic system, free and fair elections, an independent press and a judiciary that respects the rule of law. All these requirements are public and transparent and are included in Moldova’s EU accession file,” Mogaldea said.
The European institutions will closely monitor the use of the funds, and the Moldovan authorities will have to submit regular reports on the state of implementation of the projects. Evaluations will be based on both financial criteria and the visible impact of the investments on citizens.
MEP Siegfried Muresan, the plan’s chief negotiator in the European Parliament, underlined that the support also covers the Transnistrian region, for which €60 million of the €100 million supplement has been earmarked. Mureșan said that facilitating Moldova’s connection to the EU energy network remains a priority in the current geopolitical context.
At the same time, Prime Minister Dorin Recean said that Moldova must act firmly and effectively: “The European Union has given us this generous support. From now on, the responsibility is ours. Citizens cannot wait another 50 years to live European. We must act now.”
The Government of the Republic of Moldova has already approved the Reform Agenda – the basic document of the Growth Plan, which sets the priorities and directions of action for the coming period. On the basis of the Agenda, Chisinau will be able to access financial tranches, depending on the achievement of concrete results.
The authorities say the goal is clear – a better life at home, through smart investments, efficient projects and modern institutions, supported by European partners.
