NIF Subsidies to Moldova Amount to EUR 70 mn for 5 Years
OREANDA-NEWS. December 23, 2013. Over the past five years, the amount of subsidies of Neighborhood Investment Fund (NIF) in Moldova amounted to more than 70 million euros and attracted investments worth over 850 million euros. Such data was cited by the project manager at the EU Delegation in Moldova Alexander Darras at the meeting of the Press Club, devoted to NIF activities in Moldova.
According to him, the projects implemented in our country make about 12 % of the fund's portfolio. Today more than 10 projects are implemented in Moldova.
The total cost of the project for rehabilitation of the electrical networks SOE "Moldelectrica" is 36.6 million euros. This amount includes NIF grant- EUR 8 million, loans from EBRD and EIB- amounting to 14.3 million euros each.
The cost of the project to increase the energy efficiency of residential sector accounts for over 40 million euros (NIF grant-5 million euros, EBRD loan- 25 million euros). The cost of the second stage of the project to finance sustainable energy exceeds 23 million euros (NIF grant- 4,5 million euro, EBRD loan- about 21 million euros). Modernization of the wine sector requires more than 391 million euros, including NIF grant worth USD 2 million and EIB loan- 75 million euros. Budget of modernization project of the Republican Clinical Hospital is nearly 23 million euros (NIF grant- 3 million euros and European Council Bank loan- 9 million euros). The total project cost for purchase of new vehicles for Balti and Chisinau is equal to 20.5 million euro (NIF grant- 4,6 million euro, EBRD loan- 8 million euro, and EIB loan for Chisinau trolleybus fleet - 5 million euros ).
During I and II stages of road rehabilitation 181.2 million euros were allocated (NIF grant- 28,2 million euro and technical support, EBRD loan- 75 million euro and EIB loan - 75 million euros). The cost of water communications development program implemented in six regions of the country is 31.5 million euros (NIF grant, loans from EBRD and EIB- 10 million euro each).
As Alexander Darras noted, the cost of the project includes NIF grant (about 20 % of the total cost), EBRD and EIB loans and the contribution of local authorities or local businessmen. NIF was founded by the EU to unite funds of European Commission and the EU member states and use them to provide loans from European financial institutions and the EU member states. NIF also supports private sector, particularly SMEs. Moldova joined the Fund in 2008.
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