Deputy Prime Minister Sergey Pușcuța, Minister of Finance, and the governor of the National Bank of Moldova Octavian Armașu on July 21 signed the lending agreement between the Republic of Moldova and the European Union for €100 million in macro-financial assistance (MFA) and the Memorandum of Understanding in this regard, IPN reports.

In a press release, the Ministry of Finance said the goal of the agreement is to diminish the financing constraints, to attenuate the balance of payments and budget needs and to support the Republic of Moldova in the current financial situation.

To benefit from an MFA package, partner countries should meet certain political pre-conditions in terms of respect of democratic principles, human rights and rule of law and should also benefit from an IMF financial assistance program.

The loan will be provided in two equal tranches. The disbursement of the first tranche is conditional upon the signing of the Memorandum of Understanding, while of the second tranche on the implementation of six measures.