Moldova secures €150m EIB loan for agribusiness modernization
The Moldovan Cabinet approved the ratification of a €150 million (approx. 2.94 billion MDL) loan agreement with the European Investment Bank (EIB) on July 29 to fund the "Livada Moldovei II" (Orchard of Moldova II) project.
The initiative aims to ease long-term financing constraints for agricultural producers and stimulate critical investments across the national agri-food supply chain.
According to Sergiu Gherciu, Secretary General of the Ministry of Agriculture and Food Industry, the long-awaited project will provide vital liquidity and boost modernization efforts nationwide.
Focusing on high-value agribusiness
Prime Minister Vasile Tofan emphasized that expanding high-value agriculture remains a strategic core objective of the capital injection.
The financing will target key sectors including horticulture, viticulture, livestock, aquaculture, food processing, modern irrigation infrastructure, and digital production technologies.
Commercial banks, leasing companies, and non-bank credit institutions will channel approximately 90% of the funding directly to micro, small, and medium-sized enterprises (SMEs), as well as mid-caps.
Catalyzing national economic growth
The remaining 10% of the credit facility will fund public investments in agricultural research, education, food safety infrastructure, and public services tailored to the sector.
Government estimates project that "Livada Moldovei II" will ultimately mobilize over €300 million (approx. 5.88 billion MDL) in total investments, significantly bolstering rural business development and national food security.
The scheme builds upon the initial EIB-backed "Livada Moldovei" program and forms an integral part of the EU Reform and Growth Facility for the Republic of Moldova.
Translation by Iurie Tataru
