The Government approved the negotiation and signing of the lending agreement between the Republic of Moldova and the Japan International Cooperation Agency for implementing the Modernization of Agricultural Machines and Equipment Project. Based on this agreement, Japan will offer Moldova a preferential loan of 2 059 000 000 yen (US$ 18.6m), IPN reports.
The document is to be signed by Moldova’s Ambassador to Japan Vasile Bumacov.
The loan is repayable in 40 years with a grace period of 12 years, an interest rate of 0.1% on the purchase of machinery and a rate of 0.01% on consultancy services provided within the project.
Minister of Agriculture, Regional Development and Environment Ion Perju said that with Japan’s support, the farmers in Moldova could purchase modern machinery as part of the previous projects, primarily tractors and combines. In the framework of the current project, machines and equipment will be bought not only for production, but also for processing.
