IMF approves 46 million loan tranche to Moldova

KIEV (Reuters) - The International Monetary Fund on Friday approved a loan tranche of $46 million to Moldova, saying the eastern European country had made progress on its reform agenda and achieving macroeconomic stability.

One of Europe’s poorest countries, Moldova plunged into crisis in late 2014 after it emerged that the equivalent of one-eighth of national output had disappeared from Moldova’s banking system through three banks.

A new government running on an anti-corruption platform under Prime Minister Maia Sandu took charge in June this year.

“The Moldovan authorities have taken decisive corrective measures to bring the Fund-supported program back on track and to achieve its objectives of ensuring macroeconomic stability and advancing reforms,” Mitsuhiro Furusawa, IMF Deputy Managing Director, said in a statement.

“Going forward, it is critical that the authorities continue to pursue prudent policies and structural reforms aimed at strengthening the financial sector, maintaining fiscal sustainability, and creating space for social and infrastructure spending.”

Reporting by Matthias Williams; Editing by Sonya Hepinstall