New Funding Bolsters Moldova's Road Infrastructure
The Republic of Moldova has secured an additional €150 million from the European Bank for Reconstruction and Development (EBRD), earmarked for the modernization of its strategic road network. The agreement, an amendment to an existing loan, was signed on December 19, 2025, in Chisinau by Deputy Prime Minister and Minister of Infrastructure and Regional Development, Vladimir Bolea, and EBRD President, Odile Renaud-Basso. This latest allocation effectively doubles the funding for the project, bringing the total to €300 million, following an initial €150 million loan provided in 2024.
The investment is crucial for enhancing Moldova's connectivity with the European Union and strengthening regional links, particularly as the country progresses towards EU integration.
Key Road Projects and Strategic Importance
The newly secured funds will primarily target two vital road sectors:
- The modernization and expansion of the M2 Chisinau ring road, which will be widened to four lanes.
- The rehabilitation of the M1 Chisinau-Leușeni section, a critical route that ensures direct connectivity with Romania via the Leușeni-Albița border crossing.
Both of these road segments are integral parts of the Trans-European Transport Network (TEN-T), highlighting their strategic importance for connecting Moldova to the broader European Union's road infrastructure.
Addressing Rising Costs and Future Connectivity
The decision to increase the loan amount stems from significant increases in material and labor costs within the construction sector, which have risen by up to 39% since initial project studies were conducted in 2014 and 2021. This additional financing ensures that the modernization work can be completed to the required European standards.
Beyond the immediate improvements, the project also includes the implementation of a Road Asset Management System, which will introduce digital tools for monitoring, planning, and optimizing the maintenance of the road network. This investment is also forward-looking, anticipating a sharp increase in traffic between the EU and Ukraine once post-war reconstruction begins, positioning Moldova as a key transit gateway.
EBRD's Enduring Commitment to Moldova
The EBRD stands as the largest institutional investor in Moldova, having invested nearly €2.9 billion across 193 projects in the country to date. Approximately 64% of the bank's portfolio in Moldova is dedicated to sustainable infrastructure. The bank has committed a total of €692 million to modernizing Moldova's road infrastructure, underscoring its long-term support for the nation's economic development and its European trajectory.
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