MOLDOVA SOLIDARITY LANES

Promoter – Financial Intermediary

IS CALEA FERATA DIN MOLDOVA

Location

• Moldova

Description

The project will finance the rehabilitation of selected elements of the existing railway infrastructure in the corridor Valcinet - Balti - Ungheni - Chisinau - Cainari, in particular it concerns the track renewal on the existing alignment.

Additionality and Impact

The project consists of selective renewal of existing rail infrastructure totalling 128 km along a 370 km rail corridor in the Republic of Moldova. In addition, to its significance for the national economy, the corridor is an important route for transit to and from Ukraine, as it allows connection from Western Ukraine to the ports of Reni, Giurgiulesti and Galati located on the Danube and Prut rivers, which are accessible to seagoing vessels.

The project will also be addressing market failures related to negative transport externalities, such as air pollution, greenhouse gas emissions, road congestion, and traffic safety.

The project is aligned with a number of EU and national priorities, including those defined in the EU's Multiannual Indicative Programme (2021-2027) and Moldova's National Development Strategy "Moldova 2030". Also, the proposed operation is also expected to advance several Sustainability Development Goals.



The EIB financial contribution is substantial. The EIB loan will be complemented by an investment grant from the EU's Neighbourhood Investment Platform.

Objectives

The aim of this project is to improve the connection from the northern border of Moldova to the line Bender / Basarabeasca / Etulia / Giurgiulesti, in combination with another ongoing rehabilitation project. Both projects will improve the transport capacity throughout the north-south railway corridor in Moldova, from the northern border with Ukraine to the ports of Reni (Ukraine), Giurgiulesti (Moldova) and Galati (Romania).

Sector(s)

• Transport - Transportation and storage

Under Global Europe NDICI guarantee

Under EFSD+ Guarantee

Proposed EIB finance (Approximate amount)

EUR 54 million

Total cost (Approximate amount)

EUR 119 million

Environmental aspects

If situated in the EU, the project may have fallen within Annex II of the Environmental Impact Assessment (EIA) Directive and, therefore, be subject to screening by Competent Authority. The compliance of the procedures in place with the EIB environmental and social standards, including the need of an EIA and of assessment of potential impacts on protected sites will be further analysed during the appraisal.

Procurement

The EIB will require the promoter to ensure that implementation of the project will be done in accordance with the EIB's Guide to Procurement and the relevant applicable EU public procurement rules.

Status

Signed - 15/12/2023