United Kingdom provides financial assistance for developing export capacities of entrepreneurs from both banks of the Nistru river
16 June 2021
The United Kingdom is investing US$1.32 million to improve the business environment, establish new long-term trade connections between entrepreneurs from both banks of the Nistru river and increase their competitiveness in fostering and promoting exports. This financial assistance will be delivered by the end of 2023 as part of the “Advanced cross-river capacities for trade” (AdTrade) project, implemented since 2019 by UNDP with financial support from Sweden.
A Memorandum of Understanding, formalizing the participation of the United Kingdom in the AdTrade Project through additional financial assistance, was signed today in Chisinau by representatives of UNDP, and the Swedish and British Embassies.
Steven Mark Fisher, British Ambassador in the Republic of Moldova mentioned: “Free, vibrant and transparent trade is a proven driver of economic development. It creates livelihoods, generates jobs, delivers prosperity. This project encourages cross-river cooperation by private sector actors and helps open the door to increased trade with Europe – including UK. The exports to Europe from the Republic of Moldova – including from the Transnistrian region of the country – are growing steadily – both in absolute terms and as a proportion of the country’s total exports. By familiarizing more and more SMEs with the opportunities for exporting to the west, this project is working with the grain of the economic development of the country.”
So far, over 600 companies from both banks of the Nistru have benefited from assistance provided by the AdTrade Project, with financial support of Sweden. Of these, 26 exporting companies have improved their competitiveness by adopting technological innovations and increasing their capacity for expanding their business operations abroad.
21 micro and small companies have been launched with assistance from the AdTrade Project, out of which 14 are run by women and three by emigrants who have returned home. These companies have benefited from a support programme, including financial assistance for procuring production equipment and coaching and mentorship for the initial phase of their business development.
Seventy jobs for people from socia-vulnerable groups have so far been created during the project’s implementation, with financial assistance provided by Sweden, and over 1,370 jobs have been maintained in the context of the economic crisis caused by the COVID-19 pandemic.
During the Moldova Trade Forum 2021, organized by the AdTrade Project with financial support of Sweden, producers from both banks of the Nistru River signed 13 export contracts with partners from abroad.
Anna Lyberg, Swedish Ambassador in the Republic of Moldova mentioned: “During last two years, within the project, many companies were assisted in reaching new external markets and to find new partners. New businesses have been initiated and supported considering the participation of women, youth and returned migrants. Through the assistance provided, jobs were created and maintained, and in the pandemic context it was an especially valuable support. Definitely, there are more initiatives to come next years, for supporting the business environment on both banks of Nistru river and promoting the exports within the new format of financial assistance provided by Sweden and United Kingdom under the UNDP AdTrade Project.”
During two years of implementation of the AdTrade Project, about 500 representatives of 130 companies and business associations have increased their capacity to exploit the opportunities provided by the EU-Moldova Deep and Comprehensive Free Trade Agreement. Three partnerships have been established between business associations from both banks of the Nistru to promote their interests, providing development services and supporting companies from both banks to overcome the negative economic effects induced by the pandemic.
“We’re off to an exciting chapter of this tripartite collaboration. While we are cognizant of the impact of the pandemic, we consider this crisis as an opportunity for positive change, reforms and building forward better and stronger. Emerging opportunities are around us, from the digitalization and modernization of businesses, to new engagement to shape the future of skills and modern education system, greening the economy, implementing the elements of good governance to engaging with citizens and business community around building a better future,” mentions Dima Al-Khatib, UNDP Resident Representative to the Republic of Moldova
The financial assistance provided by Sweden and United Kingdom under the UNDP Advanced cross-river capacities for trade (AdTrade) project will contribute, by the end of 2023, to creating more jobs, especially for women and people from social-vulnerable groups. This will lead to improved living conditions for people from both banks of the Nistru.