What risks are behind the Russian loan

Apr 22, 2020

The agreement of the Russian EUR 200 million loan to Moldova includes several abusive provisions that would allow to convert private entities’ debts into Moldovan state debt. The purpose of the loans refers to the implementation of the so-called Moldovan-Russian joint projects, with the mandatory participation of Russian companies. Currently, no public information about the nature of the projects, the benefits for Moldova, the costs and the list of Russian companies is available.


The analysts of Community WatchDog.MD consider that such abusive provisions of the loan agreement may increase Moldova’s debt to Russia significantly more that the announced EUR 200 million loan. These provisions are contrary to the interest of Moldovan citizens and represent a threat to the economic security of the country. Although the Republic of Moldova needs financial resources to cope with the economic and social crisis caused by the pandemic, this loan agreement should not be ratified in the current format.

Read the opinion HERE

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