European Parliament approves new support plan for Moldova

On 11 February, the European Parliament gave its green light to a new support facility for Moldova, focusing on better financing and democratic oversight.

Members of the European Parliament approved a provisional agreement reached by Parliament and Council negotiators on 19 February 2025 on the Reform and Growth Facility for Moldova. 

Negotiators agreed to allocate €520 million in grants – a €100 million increase compared to the initial proposal – alongside €1.5 billion in low-interest loans. This adjustment will enable Moldova to reform without accumulating unsustainable debt.

The Facility envisages 18 per cent pre-financing of total support, up from the originally-proposed 7 per cent, enabling the rapid deployment of resources to boost energy security, anti‑corruption infrastructure and public service modernisation.

Twenty per cent of grant funds will be earmarked to shore up Moldova’s institutions through digital governance systems, civil service training, and judicial reforms – prerequisites for effective EU fund management.

The agreement also allows for voluntary contributions by other donors, such as international financing organisations, to offer Moldova additional financial support.

“Through grants and low‑interest loans, the Facility seeks to help Moldova deal with the major challenges it is facing, in particular the profound impact of Russia’s war of aggression against Ukraine on the country’s security, economy and people,” the European Parliament said in a press release. “The instrument should also strengthen Moldova’s resilience against Russian hybrid attacks and interference targeting its democratic processes and institutions.”

MEPs approved the Facility with 499 votes, 117 against and 44 abstentions.

Having received the green light from Parliament, the provisional agreement will now need to be approved by the Council. The Facility will enter into force after approval by Parliament and Council, and following its publication in the EU’s official journal.

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Press release