World Bank launches new partnerships strategy for Moldova

Chisinau, 28 July /MOLDPRES/ - The World Bank Group Board of Executive Directors today endorsed the 2018-21 Country Partnership Framework for the Republic of Moldova, which will support the country in improving economic governance, public service delivery, and skills development.

This new strategy will assist Moldova in its transition to a new, more sustainable and inclusive growth model, and is fully aligned with the Moldovan Government’s current program for economic development, according to a press release of the World Bank's Washington's based office. 

The three main pillars of the Framework are:

Economic Governance – Strengthening the rule of law and accountability in economic institutions by enhancing the quality and implementation of investment climate regulation; strengthening management of public sector assets; and enhancing financial sector governance and stability.

Service Delivery – Improving public services by increasing the efficiency and quality of selected public services, and enabling more inclusive access to those services.

Skills Development – Enhancing the relevance and quality of primary and secondary education to enable Moldovans to acquire and improve job-related skills.

“Our new partnership with Moldova will focus on addressing governance issues that affect public sector performance and accountability, as well as the business environment,” said Satu Kahkonen, World Bank Country Director for Belarus, Moldova, and Ukraine. “In addition, our strategy aims to enhance citizen engagement and identify ways of addressing existing gender disparities in World Bank Group interventions, while also improving Moldova’s adaptation, resilience and responsiveness to climate change.”

The Framework foresees financial support from the World Bank Group through a mix of instruments: International Development Association (IDA), International Bank for Reconstruction and Development (IBRD), International Finance Corporation (IFC), and Multilateral Investment Guarantee Agency (MIGA) guarantees.

IFC’s operations in Moldova will continue to focus on investment and advisory activities that enable private sector growth and diversification in support of the main pillars of the Framework.

Since Moldova joined the World Bank in 1992, over US$ 1 billion has been allocated to more than 60 operations in the country. Currently, the World Bank portfolio includes 9 active projects with total commitments of US$ 358.5 million. Areas of support include regulatory reform and business development, tax administration, education, roads, healthcare, agriculture, climate adaptation, and others.

The IFC’s committed portfolio in Moldova is US$ 53.8 million (US$ 50.9 million outstanding). Its committed portfolio consists of 95 percent loans and 5 percent equity. The Multilateral Investment Guarantee Agency has provided guarantees totaling US$ 95 million. Both institutions are members of the World Bank Group.

(Reporter V. Bercu, editor L. Alcaza)