World Bank approves financing of Moldova's micro, small, medium-sized enterprises with 50 million dollars
13:01 | 28.06.2022 Category: Economic
Chisinau, 28 June /MOLDPRES/ - The World Bank’s Board of Executive Directors today approved financing for the Project on the Competitiveness of Micro, Small and Medium-sized Enterprises (IMMM), amounting to 50 million dollars.
According to the World Bank, the project will help Moldova reduce the burden of regulation, enhance the access to financing, improve the competitiveness of exports of Moldovan enterprises and, in case of eligible crisis or emergency, to promptly and efficiently react to it.
„The Project on the Competitiveness of IMMMs will continue the long-lasting cooperation of the World Bank Group with the Moldovan authorities on issues of financing and development of the private sector, which we have had in the last decade. The project is adjusted to the government’s strategy of supporting the development of IMMMs and will contribute to the improvement and optimization of the business services through digitalization. At the same time, it will allow IMMMs become more competitive and will facilitate their access to financing, which will contribute to the increase in the Moldovan exports and to the creation of jobs,’’ World Bank Country Director for Moldova Inguna Dobraja said.
Also, a press release by the institution reads that the project will bring benefits to a large number of private enterprises, as well as public institutions. The companies benefiting from the Co-financing Grants Mechanism (MGC) will include new and potential, direct and indirect exporters. The providers of business development services will benefit from this instrument as well. Besides, the Organization for Small- and Medium-sized Enterprises Sector Development (ODIMM) will benefit from access to an experimented technical and operational team needed for the enforcement of MGC. The project will also be beneficial for the companies owned and managed by women, which face a disproportionate probability to export less than the companies owned by men and which have more difficulties in getting a loan.
Since Moldova’s access to the World Bank in 1992, more than 1.3 billion dollars has been allocated for over 60 country operations. Presently, the World Bank’s portfolio includes 12 active projects, with an overall commitment of 638.1 million dollars.