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Forestry Sector Reform Programme
Project
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Project start date
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Status
Ongoing
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Project end date
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Project duration
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15 years
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AFD financing amount
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€ 41 200 000
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Country and region
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Beneficiaries
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Moldova
Faced with climate challenges and the need to preserve its forest heritage, the Republic of Moldova is embarking on an ambitious forestry sector reform. Supported by AFD, this program aims to mod-ernize forest management, promote a sustainable economy, and strengthen the country's climate resilience.
Context
Moldova's forests are under pressure from climate change and growing demand for biomass, yet they play a vital role in mitigating droughts and floods. Recognising their importance, the government has committed to planting 150,000 hectares over 10 years as part of its National Forest Expansion and Rehabilitation Program (PNERP) and Paris Agreement commitments. However, institutional, economic, and technical challenges must be addressed to achieve these goals.
Description
This programme supports Moldova’s forest sector modernisation and convergence with EU standards. The first phase (2024-2025), backed by a €40M policy-based loan and a €1.2M AFD grant, will initiate the reform process. The grant will fund dedicated technical assistance for the Ministry of Environment, facilitating policy dialogue and reform oversight while ensuring effective implementation, until the end of 2026. Key areas of focus include:
- Legislative: Adoption of a new Forest Code aligned with EU regulations.
- Organizational: Restructuring public administrations and Moldsilva (the national forestry agency).
- Environment & Climate: Promoting silvicultural practices for carbon storage and biodiversity.
- Socio-economic: Development of a sustainable forest economy and rural employment.
- Operational: Ensuring efficient implementation of the PNERP.
- Capacity building: Strengthening national expertise through training.
Results
AFD's financial and technical support is aimed at enabling a successful reform and help attract future funding for the PNERP. These efforts will contribute to the development of a sustainable and profitable forest economy.
A second phase is contemplated, and will be designed based on progress and reform needs.
Sustainable Development Goals
Life on Land
Goal 15 aims to implement the sustainable management of terrestrial ecosystems – forests and mountains – by preserving biodiversity and soils and limiting the long-term impacts of natural disasters. It calls for integrating ecosystem and biodiversity protection into national planning and poverty reduction strategies. SDG 15 also stresses the need to protect endangered species through strengthened international cooperation against poaching and trafficking, and by implementing controls—or even eradication—of invasive alien species that harm ecosystems.
