DIPLOMACY

Iohannis wants re-examination of law on Republic of Moldova repayable loan

Romanian President Klaus Iohannis sent the Parliament for re-examination on Monday a law on giving repayable financial assistance to the Republic of Moldova, arguing it is not a timely act, given that there is uncertainty in Chisinau as to the continuation of the reforms and as to meeting the commitments made for the implementation of the EU Association Agreement.

“Considering the Common Declaration on setting up a strategic partnership between Romania and the Republic of Moldova for the European integration of the Republic of Moldova signed in Bucharest on April 27, 2010 and given the current political circumstances in the Republic of Moldova – that came after the adoption of the mentioned law by the Parliament of Romania -, we consider that the promulgation of the Law on the ratification of the Agreement on the repayable financial assistance between Romania and the Republic of Moldova signed in Chisinau on October 7, 2015 is not timely as long as there is the uncertainty regarding the continuation of reforms and meeting the commitments made for the implementation of the Association Agreement between the European Union and the European Atomic Energy Community and their member states on the one hand and the Republic of Moldova, on the other, signed in Brussels on June 27, 2014”, the re-examination request says.

The Romanian head of state explains in the request sent the Speaker of the Deputies’ Chamber Valeriu Zgonea that the law targets the ratification of a deal on repayable financial assistance totalling up to 150 million euros from the available amounts resulting from the privatisation process recorded in the forex current account balance opened at the National Bank of Romania.

Furthermore, the law says such repayable financial assistance is granted Moldova to fund its budget deficit and re-finance the state debt and the loan shall be extended in no more than three tranches, with each one maturing in five years at the utmost.


“Sending law on repayable financial aid to Moldova – not a closed door”

President Klaus Iohannis explained on Monday that the re-examination in the Parliament of the law on giving repayable financial assistance to the Republic of Moldova is not equivalent to a closed door and does not imply that Romania is waiving the aid it promised.

“The request to re-examine the Law on the ratification of the Agreement on the repayable financial assistance between Romania and the Republic of Moldova does not mean that a door is closed, or that we are waiving the aid we granted to Romanians living on the other side of the Prut River. It was the sole legal instrument at our disposal to post up the 150 million euros loan until the situation in Chisinau clears up. Depending on these developments, the law can be returned for promulgation. Romania remains Moldova’s supporter on its pro-European journey,” the head of state wrote on his Facebook account.

Related posts

Romania, Republic of Moldova – joint government meeting in Piatra Neamt. PM Grindeanu: Republic of Moldova’s European path must be further consolidated, Romania remains committed to offer support

Nine O' Clock

IntMin Dan: We’ve not identified with the Canadian officials any major crime risks

Nine O' Clock

“The Transatlantic Trade and Investment Partnership (TTIP) – an European Approach,” debate organised by the Senate Committee on European Affairs

Nine O' Clock