The Republic of Moldova will receive €102.9 million from the European Bank for Reconstruction and Development (EBRD). The funds are intended for the implementation of the “Moldova – Sustainable Water Supply (Irrigation) Project.”
The financing agreement was signed today, October 13, at the headquarters of the Ministry of Agriculture and Food Industry by Minister Eugeniu Osmochescu and Giuseppe Grimaldi, Head of the EBRD Office in the Republic of Moldova.
“Of the total amount, up to €49.8 million will be allocated to rehabilitating the centralised irrigation systems of Puhăcenii de Sus and the Căușeni Irrigation Scheme. The works will include the modernisation of water intake, pumping and distribution infrastructure, thereby ensuring access to irrigation services for approximately 6,900 hectares of agricultural land.
“At the same time, the investment benefits from European Union support through a grant of up to €4.8 million provided under the Neighbourhood Investment Platform. The financing will be supplemented by a €7.2 million contribution under the EU Growth Plan for the Republic of Moldova. A further €53.1 million from EBRD financing may be used to modernise priority centralised irrigation systems to be identified by the Government,” the Ministry of Agriculture and Food Industry said in a statement.
The investment also aims to strengthen the capacities of Moldova’s National Agency for Land Reclamation, as the project’s implementing agency, as well as those of irrigation water user associations and farmers, to ensure the sustainable management and maintenance of the systems.
According to the Ministry of Agriculture, the modernisation of the infrastructure is expected to save approximately 13 million cubic metres of water annually and help triple annual agricultural production in the rehabilitated areas.