International Monetary Fund executive board to discuss programme with Moldova

13:53 | 24.10.2016 Category: Economic

Chisinau, 24 October /MOLDPRES/- The National Bank of Moldova (BNM) announced that the new programme of Moldova with the International Monetary Fund (IMF) would be discussed by the IMF Executive Board on 7 November. Moldova hopes to get funding worth about 180 million dollars.

“The National Bank of Moldova and the government accomplished the preliminary actions of the memorandum on economic and financial policies within the agreement between Moldovan authorities and IMF experts, signed on 26 July 2016,” a press release by BNM reads.

As a result, the IMF Executive Board “will meet on 7 November to discuss the request of programme on financing reforms in Moldova for a three-year period through the Extended Credit Facility and Extended Fund Facility of the IMF. The financial arrangement provides for access to funding at a level of 75 per cent of Moldova’s IMF share (nearly 182.7 million dollars)”.

The new programme with IMF is meant to improve rapidly governance and financial-banking sector supervision. It aims at assessing and making more transparent shareholding of commercial banks in Moldova. Monetary policy will be further focused on maintaining stability of prices in the context of the flexible exchange rate regime, BNM said.

Prime Minister Pavel Filip has earlier said he voiced hope that after approving the agreement with IMF, Moldova should get 25 million dollars from this institution, other 55 million euros – from EU, and 45 million dollars from World Bank. Many of these funds are included in the state budget for 2016.

Last week, IMF’s Resident Representative in Moldova Armine Khachatryan said that so far, the Moldovan authorities had significantly progressed in meeting the priority actions agreed as a result of a visit by the fund mission to Chisinau in July 2016 “Implementation of all priority actions is condition necessary for the IMF Executive Board to take into account approving the financing programme,” the official said.

Moldova has no agreement with IMF since 2013. The country benefitted from the financial assistance from the IMF amounting to about 566 million dollars within the previous programme.

(Reporter V. Bercu, editor L. Alcază)

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