Former Deputy Prime Minister and economist Alexandru Muravschi believes that the Russian loan will be used to solve budgetary problems.
The Russian loan will help Moldova stabilize the budget.
Moldovan Ambassador to Russia Andrei Neguta signed a loan agreement with the leadership of the Russian Finance Ministry on Friday. This was announced by the President of the Republic Igor Dodon. The president specified that the agreement provides for the allocation of the first tranche of a 200-million-euro loan to Moldova. The situation is rather complicated now, so this loan plays the role of financial support for Moldova, said economist Alexander Muravsky in an interview with Sputnik Moldova.
“Of course, there are debates as to whether this loan can be considered a help. But if we talk about the cost of money on financial markets, we get a credit from Russia at a lower price, so this credit is, to a certain extent, an aid”, – Muravsky said. – “The Moldovan government has taken this credit for budgetary purposes. It is clearly defined in the budget what sums are planned to be spent on certain budget items: salaries for public employees, investments in road construction, repairs, expenditures for the army, police, etc. The deficit which has arisen in the budget of Moldova can be filled up at the expense of the credit. But, taking into account the change of the current situation, the government can go on rectification of the budget and revise the expenditure items. Therefore, all talks about the fact that we “eat” credits are far enough from understanding the situation and the decision-making process at the level of the government”.
Be sure to subscribe to our channels in order to be always aware of the situationIn the opinion of former Deputy Prime Minister, economist Alexandru Muravschi, the Russian loan will be used to solve budgetary problems.
The Russian loan will help Moldova stabilize the budget.
Moldovan Ambassador to Russia Andrei Neguta signed a loan agreement with the leadership of the Russian Finance Ministry on Friday. This was announced by the President of the Republic Igor Dodon. The president specified that the agreement provides for the allocation of the first tranche of a 200-million-euro loan to Moldova. The situation is rather complicated now, so this loan plays the role of financial support for Moldova, said economist Alexander Muravsky in an interview with Sputnik Moldova.
“Of course, there are debates as to whether this loan can be considered a help. But if we talk about the cost of money on financial markets, we get a credit from Russia at a lower price, so this credit is, to a certain extent, an aid,” Muravsky said. “The Moldovan government has taken this credit for budgetary purposes. It is clearly defined in the budget what sums are planned to be spent on certain budget items: salaries for public employees, investments in road construction, repairs, expenditures for the army, police, etc. The deficit which has arisen in the budget of Moldova can be filled up at the expense of the credit. But, taking into account the change of the current situation, the government can go on rectification of the budget and revise the expenditure items. Therefore, all talks about the fact that we “eat” credits are far enough from understanding the situation and the decision-making process at the level of the government”.