News
09.10.2009
Japan will allocate a 1.7 million US dollars grant to Moldova to implement the 2 KR project.
According to the press release of the Japan’s Embassy in Moldova, the allocation of funds is stipulated by the agreement signed by the Ambassador of Japan to Moldova Tadashi Izawa and the Minister of Agriculture and Food Industry of Moldova Valeriu Cosarciuc on October 7th. The above-mentioned grant will be the 8th tranche of the grant assistance provided by the Government of Japan to the Republic of Moldova under the 2KR Project since year 2000 when the first grant was extended. Thus, the total amount of Japan’s grant aid under the Project will reach 2.05 billion yen (approximately 18.0 million US dollars). These funds of the previous seven grants have been spent for purchases of approximately 500 items of agricultural machinery, mainly tractors and grain harvesters. Furthermore, the Project employs a scheme which provides that machinery and equipment purchased by the Japanese grant aid in not transferred for free to farmers but leased to them on preferential conditions. This stimulates the end-users to improve their production and sales activities. Proceeds from the lease are being accumulated in the Counterpart Fund and used for further purchases of agricultural equipment to support farmers. Totally, purchases of approximately 3,200 items of agricultural machinery and equipment have been financed by the Counterpart Fund. Apart from this grant, Japan provided grant aid to Moldova in the amount of over 70.5 million US dollars.
