Convergence Fund aimed at bringing two banks of Dniester closer

The Convergence Fund will have a board chaired by the Deputy Prime Minister for Reintegration, while financial contributions will be directed toward social and connectivity projects intended to bring the two banks of the Dniester closer together. No parallel structures will be created; the Convergence Fund’s money will be channeled through the state’s existing mechanisms. Details on how the fund will operate were provided by Deputy Prime Minister for Reintegration Valeriu Chiveri during a TV show.


“We will also create a coordinating council, a board that will be managed by the Deputy Prime Minister for Reintegration, who will chair this board. It will include all the heads of the relevant institutions, those involved in implementing the fund. A secretariat will be created and led by a Secretary of State from the State Chancellery, who will also be responsible for reintegration, since we have a Secretary of State for this area within our system. When necessary, external partners who wish to contribute to this fund will also be invited,” the Deputy Prime Minister said.


Chiveri noted that resources provided by external partners would be directed primarily toward infrastructure projects, while the fund’s management mechanism would have to ensure transparency in the use of the money.

According to the Deputy Prime Minister, citizens on the left bank of the Dniester will be able to benefit from the same mechanisms through which social benefits are granted on the right bank, without establishing a separate system.


“We have several categories of social benefits that the National House of Social Insurance provides to citizens of the Republic of Moldova, regardless of where they live, on the left or right bank. We will not create a parallel mechanism. These benefits will therefore be provided through the same mechanism that currently operates on the right bank. However, the money will come through the Convergence Fund, based on the decision of the board that I will have the honor of managing,” the Deputy Prime Minister explained.


In the case of infrastructure projects, resources from the Convergence Fund would be transferred to existing funds, depending on the type of project.


“If we are talking about infrastructure, we have the Regional Development Fund, for example, which is managed by the Ministry of Infrastructure and Regional Development. We also have the Road Fund, for example. If we are talking about a road that will be built or repaired through the Road Fund, then the money from the Convergence Fund will go to the Road Fund for project X, to repair the road segment connecting the two banks. Thus, we are not creating parallel structures to implement this fund,” Chiveri said.


Chiveri said that the mechanism for implementing the Convergence Fund is at an advanced drafting stage at the Reintegration Policies Bureau and is expected to be approved by a government decision. The document will establish the fund’s beneficiaries and objectives, as well as the categories of assistance that could be provided to citizens in the Transnistrian region.

The application of VAT and excise duties to businesses in the Transnistrian region represents an important step in the country’s reintegration process, Deputy Prime Minister for Reintegration Valeriu Chiveri said. The official stated that tax harmonization began on September 1 with non-essential and luxury goods, and that the measures would be extended to other categories of products in subsequent stages.