Document from CIS Legislation database © 2003-2022 SojuzPravoInform LLC

LAW OF THE REPUBLIC OF MOLDOVA

of December 22, 2006 No. 419-XVI

About debt of the public sector, the state guarantees and the state recrediting

(as amended on 15-08-2019)

The parliament adopts this organic law.

Chapter I. General provisions

Article 1. Sphere of regulation

(1) This law determines debt of the public sector, regulates the reporting under debt of the public sector, establishes the purpose, procedure for the conclusion of agreements, payments, repayments, registration and national debt management, provisions of the state guarantees and recrediting at the expense of the means received on state loans.

(2) are regulated by This law debt on which agreement is signed by the Government on behalf of the Republic of Moldova through the Ministry of Finance, debt of the state/municipal companies, commercial societies with completely or mainly the public capital and administrative and territorial units with repayment period one year and more, and also government securities irrespective of the term of their repayment.

(3) Provisions of this law are not applied to acquisition of foreign currency by National Bank of Moldova and receipt of the credits by National Bank of Moldova from the International Monetary Fund or other nonresident creditors.

Article 2. Basic concepts

For the purpose of this law the following basic concepts are used:

distribution of special drawing rights – debt with charge of percent in the form of the international reserve assets created by the International Monetary Fund and distributed to his members for replenishment of the reserve assets;

the beneficiary of recrediting - any physical person or legal entity, being the final receiver of the recredited means;

the agreement of the state guarantee - the guarantee agreement between the state and the creditor according to whom the debt of the guaranteed debtor (the physical person – the beneficiary of the state program "First house" or the legal entity who obtained loan under the state guarantee) which resulted from internal or external loans in case of failure to carry out by the guaranteed debtor of the obligations to the creditor shall pay the state fully or partially to the creditor;

the account with charge of percent – the deposit account opened in National Bank of Moldova and/or in bank on which money with charge of percent is deposited;

debt of the public sector – set of public debt, debt of administrative and territorial units, debt of National Bank of Moldova, the debt following from internal and external loans of the state/municipal companies and commercial societies with completely or mainly the public capital;

public debt - contractual cash current commitments of the state, due for settlement, both the receivable and unpaid interests which arose owing to acceptance on themselves the state of the status of debtor or guarantor according to the agreements signed by the Government on behalf of the Republic of Moldova through the Ministry of Finance in national or foreign currency;

external public debt - the integral part of public debt representing total amount on all pending obligations and receivable and unpaid interests according to the agreements signed by the Government on behalf of the Republic of Moldova through the Ministry of Finance with nonresidents of the Republic of Moldova. The government securities issued for placement in the international financial markets and acquired by residents of the Republic of Moldova belong to external public debt;

internal public debt - the integral part of public debt representing total amount on all pending obligations and receivable and unpaid interests according to the agreements signed by the Government on behalf of the Republic of Moldova through the Ministry of Finance with residents of the Republic of Moldova. The government securities issued for placement in the domestic market of the Republic of Moldova and acquired by nonresidents belong to internal public debt;

the deposit – the debt instrument of the public sector representing the requirement to public financial institutions or National Bank of Moldova in the form of deposited money with charge or without charge on them of percent or with receipt of any other benefit;

debt servicing - principal payment, percent and the other receivable amounts provided by agreements based on which the debt was formed;

the state guarantee - obligation assumed for the account and on behalf of the state by the Government as the guarantor to pay pending obligations of the guaranteed debtor in case of maturity;

external state guarantee - the state guarantee issued for benefit of the creditor who is the nonresident;

internal state guarantee - the state guarantee issued for benefit of the creditor who is resident;

administrative and territorial unit guarantee – obligation assumed for the account and on behalf of administrative and territorial unit by its executive body as the guarantor to pay pending obligations of the guaranteed debtor in case of maturity;

the debt instrument – the financial liability assuming principal payment and/or percent by the debtor for benefit of the creditor for certain date in the future;

state loan - contractual relations in case of which the creditor transfers to the possession the states of means with condition of their return by the state after the term for which they were provided. The state loan can be percentage or interest-free;

the nonresident - any physical person having the permanent residence abroad, any legal entity, and also any company or the organization which do not have the status of the legal entity, created and registered abroad;

award - difference between the price of government security at the time of its placement and its nominal value if the price is higher than nominal value;

recrediting - provision of loan to the recredited beneficiaries at the expense of the means received on state loans;

resident - any physical person having the permanent residence in the Republic of Moldova, any legal entity, and also any company or the organization which do not have the status of the legal entity, created and registered in the territory of the Republic of Moldova;

discount - difference between the price of government security at the time of placement and its nominal value if the price is lower than nominal value;

the main amount - the amount provided on loan;

the main amount of government security with discount - the price paid by the creditor upon purchase of the government security issued with discount;

Warning!!!

This is not a full text of document! Document shown in Demo mode!

If you have active License, please Login, or get License for Full Access.

With Full access you can get: full text of document, original text of document in Russian, attachments (if exist) and see History and Statistics of your work.

Get License for Full Access Now

Disclaimer! This text was translated by AI translator and is not a valid juridical document. No warranty. No claim. More info

Effectively work with search system

Database include more 50000 documents. You can find needed documents using search system. For effective work you can mix any on documents parameters: country, documents type, date range, teams or tags.
More about search system

Get help

If you cannot find the required document, or you do not know where to begin, go to Help section.

In this section, we’ve tried to describe in detail the features and capabilities of the system, as well as the most effective techniques for working with the database.

You also may open the section Frequently asked questions. This section provides answers to questions set by users.

Search engine created by SojuzPravoInform LLC. UI/UX design by Intelliants.