Government of Moldova and World Bank concluded the financing agreement of Project RISP II

Minister of Finance Mihai Pop and country manager of World Bank (WB) for Moldova, Edward Brown concluded on Thursday, 13 April, the financing agreement of the second phase of Rural Investment and Services Project (RISP II) for Moldova. Mihai Pop said during the conclusion ceremony that this agreement is to confirm the availability of WB to support further development of Moldova’s economy. According to minister of finance, this is not the last contribution on WB behalf. „There are many cooperation intentions for implementing the Economic Growth and Poverty Reduction Strategy (SCERS), the Action Plan RM-EU and other development strategies,” he mentioned. In opinion of WB country manager for Moldova, agreement conclusion is an indicator of development of cooperation relations with Moldova. According to Brown, the second phase of RISP Project represent 15 million dollars, 50% of them are given as grant, and the rest as credit, at an interest rate of 0.75%. „It is rather a commitment on behalf of Moldova than an interest rate,” Edward Brown specified. He mentioned that a considerable support of 6 million dollars within this project was allotted by Swedish Government. „The key-moment of the project is to increase the access of private farmers to financial resources. WB also will provide assistance to RM government in consolidating the plots.” WB representative expressed his hope that this project would contribute to economic growth of the country by developing the agricultural sector. The minister of agriculture and food industry, Anatolie Gorodenco, present at the ceremony, thanked WB and Swedish Government for given support. The minister underscored that it is a huge support that will be directed to re-launching the agriculture of Moldova, in the context of agricultural policies promoted policies promoted by the government. Project RISP II has five basic components: providing consultation services and development of rural business; rural financing; providing credits to farmers; pilot-projects of re-dividing the plots and providing financial support for project management. The project shall be implemented in the period June 2006-June 2010.