IMF ready to begin talks on new assistance program

CHISINAU, Moldova

The International Monetary Fund (IMF) is ready to support Moldova in overcoming the consequences of the global financial and economic crisis and will begin talks on new assistance program immediately after the formation of the new Government, Head of the IMF Mission Johan Matissen, who will complete his visit to Moldova on Monday, said at a news conference on Thursday.

He underscored the International Monetary Fund (IMF)’s readiness to render any assistance to Moldova, but he waits for the results of the political process and the formation of an efficient Government.

He said, if the new Government takes the course for the stabilization of the financial-budgetary system, economic growth and takes all necessary measures for this purpose, IMF will begin talks on the new program immediately,

He recalled that before the crisis Moldova’s development path was very positive.

He said, if the crisis continues, it will be necessary to change the tax policy for raising the budget’s revenues, in order to overcome the crisis.

In his opinion, Moldova will have to recur to internal and external credits, but not commercial ones, like those, offered by Russia and China, but to concession credits,

Matissen thinks that Moldova may receive the first tranche of the IMF credit at the end of 2009 – the beginning of 2010 in the best case.

He called for not politicizing his withdrawal from the post of the Mission head and underlined that he makes this voluntarily on his personal circumstances.

Matissen will continue his activities in the IMF office in Washington and will carry on analytic surveys in the European department.