Brussels, 30/11/2010 (Agence Europe) - On Tuesday 23 November, the European Investment Bank (EIB) granted two loans, each of €75 million, in Moldova. The first is to finance the increase of the quality (not the capacity) of the Moldovan wine industry and the second is to support the upgrade of priority roads. Then on Wednesday 24 November, the Bank granted a €20 million to Mobiasbanca, Groupe Société Générale SA, to support small-scale projects.
The loan to the wine sector will address the structural weaknesses of the Moldovan wine industry, from vineyard to final packaging and dispatch of wine. It will finance projects of small and medium sized enterprises active in this sector, including local growers, winemakers and associated industries such as bottle production. The loan will be exclusively available for investments related to the production of bottled quality wines of “Protected Designation of Origin” or “Protected Geographical Indication” and will not to be used for any expansion of Moldova's wine growing area. This project will be implemented between the beginning of 2011 and the end of 2014.
The second loan is for the upgrade of road sections between Chisinau - Orhei - Sarateni - Balti, Chisinau - Calarasi - Ungheni - Sculeni, and Comrat - Ciumai. These three road sections are the Moldovan government's priorities for the road sector. This project is co-financed with a loan from the European Bank for Reconstruction and Development and grants from the European Commission through the Neighbourhood Investment Facility and it will be implemented from 2011 to 2013.
The loan to Mobiasbanca is a credit line for €20 million intended to support primarily projects of small and medium sized companies, including a tranche (30% maximum) for small and medium scale energy and environment projects promoted by mid-sized corporate and public entities. This operation falls within the SME Eastern Partnership Initiative launched at the Prague summit in May 2009, and the framework of the joint IFI Action Plan in support of the banking systems and lending to the real economy. (O.L./transl.rt)