The European Commission’s proposal for a new €1.8 billion economic Growth Plan for Moldova

Brussels – The European Union is focused on strengthening Moldova’s economy and democratic institutions to support Chișinău’s path towards EU membership. “Today, I am in Chișinău to present a support package that has the potential to double the country’s economy within a decade,” President of the European Commission Ursula von der Leyen said during a press conference with Moldovan President Maia Sandu on 10 October.

Chișinău is among the top recipients of bilateral assistance from the European Union in recent years, receiving €417 million between 2022 and 2024. This includes €140 million in 2023 alone, with €59 million specifically allocated to support EU integration. Additionally, Chișinău is the second-largest beneficiary of the European Peace Facility—after Ukraine—with €137 million provided since 2021 to strengthen its armed forces.

However, the new €1.8 billion Growth Plan outlined by President von der Leyen is “the largest EU financial support package since Moldova’s independence.” The head of the European Commission emphasised that the initiative “will stimulate national economy, bring the country closer to EU membership by accelerating reforms, and deliver substantial financial assistance.”

What is the Growth Plan for Moldova

Modelled after the Plan adopted for the Western Balkans, the €1.8 billion Growth Plan for Moldova is anchored by a Reform and Growth Facility covering the period 2025–2027. The European Commission’s proposal will undergo review by the co-legislators in the European Parliament and the EU Council. Once approved, Chișinău will be required to submit its Reform Agenda, detailing key socio-economic and fundamental reforms aimed at advancing convergence with the EU. The Growth Plan for Moldova is built on three pillars.

The first pillar aims to increase financial assistance over the next three years through a dedicated Reform and Growth Facility. This facility could support the construction of new roads, bridges, rail infrastructure, and electricity powerlines to bolster energy security. It also aims to improve healthcare, integrate Chișinău into the EU’s “Roam Like at Home” area, and provide access to financing for small family businesses.

The second pillar focuses on enhancing access to the EU Single Market, with immediate steps in five key areas: free movement of goods and integration into supply chains, facilitation of trade and transport connections, integration into the EU energy market and decarbonisation efforts, participation in the Digital Market, and access to the Single Euro Payments Area (SEPA).

The third pillar addresses socio-economic support and fundamental reforms. According to the European Commission, “economic convergence is an essential element in preparing candidate countries for EU accession and for joining the Single Market.” These reforms aim to attract foreign investment, improve the business environment, support small and medium-sized enterprises, enhance skills and qualifications, and strengthen trade and exports, thereby boosting economic growth and fostering closer economic alignment with the EU. Payments will be contingent on the delivery of pre-agreed reforms.