Press Statement

October 24, 2017

Volodymyr Tulin
IMF Resident Representative in the Republic of Moldova

PRESS STATEMENT

An International Monetary Fund (IMF) mission led by Ben Kelmanson will visit Chişinău during October 25 – November 7, 2017.

The mission will hold discussions with the authorities in preparation of the 2017 Article IV consultation[1] and in the context of the second review of Moldova’s IMF-supported program under the Extended Credit Facility (ECF) and the Extended Fund Facility (EFF) arrangements.

The mission will take stock of the recent economic developments and the progress in authorities’ program implementation, update and assess the macroeconomic outlook, and discuss with the authorities their macroeconomic policies in the period ahead.

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Background: Moldova’s three-year IMF program, approved on November 7, 2016, is supported by a loan of SDR 129.4 million (about US$182 million, or 75 percent of the Republic of Moldova’s quota), of which SDR 41.7 million (about US$59 million) have been already disbursed. Two thirds of the loan are provided under the Extended Credit Facility, which carries a zero interest rate through 2018, a grace period of 5½ years, and a 10-year maturity. The rest of the loan is provided under the Extended Fund Facility, which carries an annual interest rate equal to the SDR basic rate of charge (currently 1.3 percent), and is repayable over 10 years with a 4½ -year grace period.

[1] Under Article IV of the IMF's Articles of Agreement, the IMF holds bilateral discussions with members, usually every year. A staff team visits the country, collects economic and financial information, and discusses with officials the country's economic developments and policies. On return to headquarters, the staff prepares a report, which forms the basis for discussion by the Executive Board (IMF Factsheet on Surveillance).