The European Union and UNDP improve infrastructure to attract more investment in the Cahul and Ungheni regions

January 24, 2024

The European Union is offering 1.5 million euros for the creation and modernization of infrastructure to attract investments in the Cahul and Ungheni regions. A technology center for innovation and production will be set up in Sculeni, an industrial hub will be renovated in Ungheni. A regional agri-food market will be constructed in Cahul and the local business development centre in Crihana Veche village will also benefit from landscaping works and improved road access.

Each of the four initiatives will benefit from funds of between 200,000 and 550,000 euros, through the "EU4Moldova: Focal Regions" programme, implemented by UNDP and UNICEF. 

"Today, we celebrate yet another milestone in the program's journey – the awarding of four certificates, totalling 1.5 million euros. The projects selected to be funded by EU will further enhance the development of Cahul and Ungheni regions and will improve the lives of citizens through access to qualitative services, modern infrastructure and more jobs," said Jānis Mažeiks, Ambassador of the European Union to the Republic of Moldova during the handover ceremony of the financial support certificates, held on 24 January 2024.

"The importance of attracting new companies into the regions extends beyond the immediate economic and financial gains – as new companies contribute to enhancing residents' standard of living and reducing unemployment rates. At the same time, local public authorities from Ungheni and Cahul region will benefit from increasing local revenues, to be used for the development of local infrastructure and services," said Daniela Gasparikova, UNDP Resident Representative to the Republic of Moldova.

The initiatives were selected through an open competition and aim to contribute to mobilizing new investments, supporting start-ups, creating jobs and promoting innovative technologies by attracting competitive businesses at the local level. This depends on the existence of viable public infrastructure such as access to water supply systems, sewage, electricity, natural gas, road networks, etc.

"This initiative aims to support economic development and to create new jobs in Crihana Veche. We hope that this business centre will host more competitive businesses and startups, especially launched by women entrepreneurs, young people,” said Igor Miclauș, the mayor of Crihana Veche village.

"The Technology Center for Innovation and Production we will establish will be specialized in production of microelectronics exclusively based on renewable energy sources. So, we put Sculeni on the map of communities with growth potential. We hope that as many locals as possible will get jobs in this new Centre and also highly skilled workers will commute to Sculeni, which will only have wins to take,” said Olga Oncea, Administrative Director of the company aiming to create the Center.   

“EU4Moldova: Focal Regions” programme (2019-2024) supports smart, inclusive, and sustainable socio-economic development in the Cahul and Ungheni regions to bring a better quality of life to citizens. The programme has a total budget of €23 million, is financed by the European Union and implemented by the United Nations Development Programme (UNDP) and the United Nations Children's Fund (UNICEF). 

Access here the Press-release in Russian.