|Author (Corporate)||Council of the European Union, European Parliament|
|Series Title||Official Journal of the European Union|
|Series Details||L 242, Pages 14–21|
Decision (EU) 2017/1565 - adopted by the European Union (EU) in September 2017 - which allocates macro-financial assistance of a maximum amount ot €100 million to Moldova with a view to supporting the country's economic stabilisation and a substantive reform agenda.
Moldova's government requested Macro-Financial Assistance (MFA) from the European Union in August 2015 and reiterated that request in March 2016. The European Commission decided to address that request - considering political and economic developments in the country since 2014 - in January 2017, by adopting a Decision on an MFA to Moldova of up to €100 million, of which €60 million in the form of loans and €40 million in the form of grants. An informal agreement between the co-legislators on the draft Decision was reached on 6 June. The compromise text was endorsed by the European Parliament on 4 July and by the Council of the European Union on 17 July. It was signed by the co-legislators on 13 September.
Disbursements under this programme are conditional on good progress with a related programme sponsored by the International Monetary Fund (IMF) and on the implementation of specific policy conditionality to be agreed between Moldova and the EU in a Memorandum of Understanding. In light of proposed changes to the country's electoral system, the institutions also produced a joint statement on preconditions for this programme, highlighting the importance of the respect for a multi-party parliamentary system and for the rule of law.
In June 2018, the disbursement of the first installment was put on holding by EU authorities, due to a deterioration of conditions relating to rule of law and mounting political issues. Following a change of government, the European Union decided in July 2019 to resume budget support assistance. The first tranche of this MFA was delivered to the country on 10 October.
|Subject Categories||Economic and Financial Affairs|
|Subject Tags||Economic Governance | Situation|
|Keywords||Macro-Financial Assistance [MFA]
|Countries / Regions||Moldova|
|International Organisations||European Union [EU]|