EBRD lends €344 million to upgrade Moldova’s strategic road corridors
The Republic of Moldova and the European Bank for Reconstruction and Development (EBRD) today signed a Loan Agreement worth up to €344 million for the implementation of Moldova’s Road Rehabilitation Project VI. The financing will enable the modernization of approximately 134 km of national roads.
The agreement was signed by Finance Minister Victoria Belous on behalf of the Republic of Moldova and Arvid Tuerkner, Managing Director for Ukraine and Moldova, on behalf of the EBRD.
According to the Ministry of Infrastructure and Regional Development, the financing will be used for rehabilitation, construction, and widening works on sections of the R7 Rășcani–Soroca and M3 Chișinău–Comrat roads, as well as for technical supervision services and the support required to implement the project.
The EBRD loan will be disbursed in two instalments: €175 million in the first tranche and €169 million in the second.
“Through this agreement, we are securing financing to modernize approximately 134 kilometers of national roads. These are important sections for the country’s connectivity, which we want to bring up to modern standards and provide better and safer travel conditions. Investments in road infrastructure also help bring our country closer to the European transport network,” said Deputy Prime Minister Vladimir Bolea, Minister of Infrastructure and Regional Development.
The project will be implemented by the Ministry of Infrastructure and Regional Development through the National Road Administration.
In addition to the EBRD loan, the project also provides for the mobilization of European grants. The EBRD is in the process of mobilizing a grant of up to €11.4 million through the European Union’s Neighbourhood Investment Platform. At the same time, the Republic of Moldova is expected to receive a grant of up to €7.7 million through the Connecting Europe Facility.
The project also provides for a contribution of up to €34.2 million, financed from concessional resources made available by the European Union through the Growth Plan for the Republic of Moldova.
The investments in the R7 and M3 roads are part of the national road infrastructure modernization programme and aim to improve the Republic of Moldova’s connections with the Trans-European Transport Network (TEN-T).
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