The €100 million in macro-financial assistance will be provided to support the economic stabilization and structural reform agenda of the Republic of Moldova and to help cover its external financing needs in 2017-2018. A sum of €40 million will be allocated in the form of grants, while €60 million in loans. The funds will supplement the resources provided by the IMF and other multilateral institutions, IPN reports.

At the beginning of the July 4 meeting of the Cabinet, Prime Minister Pavel Filip said the European Parliament’s decision to allocate financing shows that the European values are above the disputes that some of the political players tried to transfer to the European platform. A lot of work is to be done until the disbursement of the first tranche given the imposed conditions. The European funds are intended not for the Government, but for the people and will be used to do reforms.

The European Commission and the European External Action Service will monitor the observance of the preconditions set for Moldova and will decide when to allocate the first tranche based on the conclusions. Among the preconditions are to respect democracy, the rule of law and human rights, to fight corruption, to ensure transparency in the management of public finances and to strengthen the institutional capacities.

The European Parliament on July 4 voted in favor of providing €100 million in macro-financial assistance to Moldova. The money is to be disbursed by the European Commission in three tranches. A number of 575 MEPs voted for providing the macro-financial assistance to Moldova, 76 voted against, while 46 abstained.