June 6 (SeeNews) - Moldova's agriculture ministry said it signed an agreement with the World Bank for a $55 million (51.4 million euro) loan, to be used to develop underperforming agricultural sub-sectors.
The financing shall be implemented by 2029 and will help increase the income of farmers, as well as create new jobs and market opportunities, implement smart agricultural practices and promote organic production, the ministry said in a press release on Monday.
Out of the total amount, around $25 million will be invested in the rehabilitation of Moldova's irrigation infrastructure. Around 6.5 million dollars will be directed towards strengthening the capabilities of the national Agency for Intervention and Payments for Agriculture (AIPA) and the National Agency for Food Safety (ANSA), while 2.5 million dollars will be used for project management purposes.
You can download the 2023 Agriculture industry in Southeast Europe report here
Agriculture is a key sector of Moldova's economy, contributing around 15% of GDP and providing employment to some 21% of the population, Inguna Dobraja, World Bank Country Director for Moldova, noted.
Last month, the World Bank said that it approved a support package of $134.3 million to assist Moldova's government in mitigating the socio-economic impacts of Russia’s invasion of Ukraine.