The President of Romania Klaus Iohannis on May 6 signed the decree to promulgate the law on the ratification of the lending agreement between Romania and Moldova. The accord was signed in Chisinau on October 7, 2015, IPN reports.
The agreement by which Moldova borrowed €150 million from Romania stipulates that the loan is repayable in five years, at an interest rate of 1.5% a year. The loan is provided as budget support.
The money will reach Moldova in three tranches. The first tranche of €60 million was to be disbursed last year, but, owing to the political instability in Moldova, the administration of Romania stopped the disbursement procedures.
