World Bank approves US$10 million in additional financing for RIPS II

The World Bank Board of Directors Thursday approved an additional credit to the Republic of Moldova in the amount of US$10 million for the Rural Investment and Services Project (RISP) II, Info-Prim Neo reports, quoting a communiqué from the WB Office in Moldova. The additional financing will complement the total RISP II allocation of US$21 million and will be used for scaling-up ongoing project activities, the communiqué says.   RISP II objectives are: to continue to foster post-privatization growth in the agricultural and rural sectors, by improving access of farmers and rural entrepreneurs to knowledge, know-how and finance; and to build capacity of the private and public institutions to ensure the sustainability of the activities.  “RISP Program has been a real catalyst for start-up businesses and young entrepreneurs across Moldova. I am confident that the additional US $10 million will provide the extra support needed to foster entrepreneurship in rural areas of the country,” underlined Melanie Marlett, World Bank Country Manager for Moldova.    “In 2009, I will increase my production capacity and I am expecting a profit of US $13,000,” said Victor Velisca, a carpenter from Varatic village. Velisca benefited from a US $28,000 preferential credit through RISP, which enabled him to purchase modern equipment for production of industrial wooden boxes. As a result of the RISP Program (RISP I and II) over 1,700 new businesses have been created, which generated 7,000 new jobs, mainly in rural areas. Annually, over 350,000 Moldovan farmers benefit from the services of the national agricultural extension agency - ACSA - established with support from RISP.   The RISP II Project was launched in June 2006 and is the Second Phase of a two-phase Rural Investment and Services Program, co-financed with a US$6 million grant from the Swedish International Development Agency (SIDA).