Moldova Requested a New Non-funding Cooperation Program from the IMF

Moldova has asked the International Monetary Fund (IMF) to launch a new cooperation programmed, but without a financial component. This was announced by Svetlana Cerovic, head of the IMF’s permanent mission in Chisinau. According to the official, the Government of the Republic of Moldova has already sent a request to the IMF to consider the possibility of preparing and signing such a program. The Fund has currently initiated internal processes to analyze the application, bani.md reports. “The existence of such a program implies support from the Fund without traditional financing. The authorities of the Republic of Moldova believe that such a program would be a sign of confidence on the part of the IMF in the policies and reforms being implemented. In addition, the program could increase confidence in the country, which is important for economic growth and attracting foreign investment,” Cerovic said. According to her, in a request sent to the IMF, the Chisinau authorities indicated that the program should have a duration of three years. The IMF representative clarified that programs without financing impose the same requirements on economic policy and reforms as classic programs that include financial support. The previous program with the IMF ended at the end of October last year, but the Republic of Moldova did not receive the last two tranches of funding totaling about $170 million. The authorities acknowledged that the funds were not allocated due to the failure to fulfil some of the commitments made, especially in terms of expenditure.