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Millennium Challenge Corporation; United States of America

Moldova Compact

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Introduction

In 2010, MCC partnered with Moldova to implement a five-year, $259 million compact that invested in agriculture and road infrastructure.

Country Context

MCC and Moldova determined that deteriorated roads and reliable access to water were constraints to growth. Removing these barriers would benefit an estimated 414,000 people.

Road Rehabilitation Project

The Road Rehabilitation Project (RRP) aimed to reduce the cost of transport, goods and services.

Transition to High Value Agriculture (THVA) Project

The Transition to High Value Agriculture (THVA) Project aimed to catalyze investments in high-value agriculture products, moving away from low-value grains.

Compact Changes

Prompted by several developments in the compact, MCC approved a reallocation from the Road Rehabilitation Project to a sub-activity under the Transition to High Value Agriculture Project.

Coordination and Partnerships

The compact was situated in a crowded field of donor assistance in Moldova so MCC had ample opportunities to work with other development partners.

Conditions Precedent

Several conditions precedent to compact funding were identified with the Road Rehabilitation and Transition to High Value Agriculture Projects.

Lessons Learned

The Moldova Compact investments in agriculture and road infrastructure yielded critical learning for these sectors.

  • Signed: January 22, 2010
  • Entry into Force: September 1, 2010
  • Compact End Date: September 1, 2015

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