July 30 (SeeNews) - The International Monetary Fund (IMF) is considering the provision of $236 million (198 million euro) in special financing to Moldova, the country's president Maia Sandu said on Friday.
The IMF board of directors will decide by the end of August whether to grant the special financing to Moldova, Sandu said in a post on social media following a discussion with IMF managing director Kristalina Georgieva.
"We discussed the need to immediately remove all barriers that led to the blocking of a new IMF programme for the Republic of Moldova. Ms. Kristalina Georgieva assured us of the Fund's availability to continue collaborating with the Republic of Moldova," Sandu said.
In December, the IMF board announced that it is deferring the approval of the financial agreement with Moldova reached at staff level in July 2020. Moldova was to receive $558 million for the implementation of an economic reform programme under the agreement.
IMF's decision came after the Moldovan parliament abrogated the law under which the government is repaying the loans extended by Moldova's central bank to the three banks involved in a $1 billion fraud scheme, back in 2014.
The IMF said at the time that the abrogation cancels all the efforts made for the recovery of Moldova's financial system.
($ = 0.854 euro)