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EU and EIB Fund Moldova Railway Upgrade to Boost Regional Trade

Published 10/26/2023, 09:30 PM
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In a move to bolster regional stability and enhance trade, Olivér Várhelyi and Werner Hoyer announced a €12 million grant for the rehabilitation of Moldova's rail infrastructure at the Global Gateway Forum on Thursday. The funding forms part of a larger financial package that includes a €42 million loan from the European Investment Bank (EIB) Global.

The project, set to be executed by Moldovan Railways, will focus on the rehabilitation of the Vălcineț-Ungheni-Chișinău-Căinari railway corridor. The initiative is part of the wider EU-Ukraine Solidarity Lanes initiative, which aims to align Moldova's railway network with EU standards and provide an export route for Ukraine to key Danube and Prut River ports.

The rehabilitation seeks to enhance Moldova's internal connectivity, fostering economic resilience in the region. The North-South corridor, connecting Western Ukraine to the Danube and Prut River ports, is expected to play a crucial role in boosting trade between Moldova and Ukraine.

This upgrade is part of a nationwide reform that aims to align Moldova's rail infrastructure with EU standards under the EU-Ukraine Solidarity Lanes initiative. The financial package formalized by Várhelyi and Hoyer represents a significant investment in Moldova's future economic stability and growth.

This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.

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