FHI 360 Moldova

“2 Percent” Law Passed in Moldova Will Strengthen Civil Society Sustainability

"FHI hit a home-run,” Karen Hilliard, USAID's new Moldova Representative exclaimed.  She was lauding the recent passage of the 2 percent for CSOs law after attending the USAID Moldova Partnerships for Strengthening Civil Society (MPSCS) project’s conference about the implementation of this bill on September 13, 2016. The bill’s pass

age promises to make Moldovan CSOs more sustainable and less dependent on foreign aid, one of the main objectives of the FHI 360-implemented MPSCS project. The 'home run' was three years in making, the result of a painstaking process of first catalyzing, and then supporting through grants and technical assistance a broad coalition of CSOs advocating for its passage, and finally winning key allies on the government's side. The bill was passed on July 22 and on the eve of the conference Moldova's Government amended the bill to include the exact mechanism for its implementation.

The September 13 conference brought together in Chisinau close to 60 representatives of civil society organizations (CSOs), Liliana Palihovici, Vice-Speaker of the Parliament of Moldova, Liudmila Gritco from Fiscal Inspectorate, Alexandrina Culcitchi from the Ministry of Justice, Anastasia Eremeeva from the Ministry of Finance, donor agency representatives, and CSO law experts from the European Center for Not-for-Profit Law (ECNL) from Romania, Hungary, Poland, Bulgaria, and Slovakia. ECNL's regional experts shared lessons learned from implementing a similar law in their countries, highlighting the importance of widely promoting the 2% option to increase tax-payer participation. The attendees spent most of the day reviewing the operational and legal details of this milestone bill which will enable every Moldovan tax-payer to donate 2% of their tax-bill annually to a CSO of their choice. They also explored potential avenues for philanthropy and mobilization of other local funding sources as well as the challenges posed by existing regulations.

“We have a lot more of work to do”, said Anatol Beleac, the director of FHI 360’s civil society strengthening project in Moldova, “to make sure that most of the Moldovans take advantage of the 2% law for CSOs.”

The conference was organized by the European Center for Not- for-Profit Law and Legal Resources Center, under the Moldova Partnerships for Sustainable Civil Society (MPSCS) project, funded by the United States Agency for International Development (USAID) and implemented by FHI 360.

 
 

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