Some foreign investors continue to come to Moldova even though we border a country at war and many projects have been suspended. This was stated by Ion Iordaki, deputy director general of the Investment Agency, in a broadcast on rlive.md.
According to Iordaki, the war in Ukraine has affected most industries, but the authorities are trying to solve the problems that arose after the invasion of the neighboring country.
“We are well aware of the situation we are in besides. In addition, the supply chains have been disrupted, which affects us very much. Nevertheless, we are honest with investors and say yes, there is a war on the border, but by investing in Moldova, you help both countries. There are sectors such as pharmaceuticals, IT, and business process outsourcing (BPO) in which it is easier to convince investors to invest in Moldova. The second element we are counting on is a favorable proposal on the tax system. We are talking about the latest amendments, which stipulate that when reinvesting profits, the rate is zero percent,” Iordaki said.
The deputy director general of the Investment Agency claims that most of the investments are now in IT, BPO, automobile, retail, and banking. Investments in the tobacco industry have also increased.
Philip Morris International has initiated a collaboration with the Tutun-CTC plant. Another investor that will appear on the market is Erich Jaeger, a world leader in the production of connectors.
“The legislative framework will be finalized. The new customs code will be harmonized with European standards. This document will bring clarity to many aspects concerning taxation, customs duties, insurance, and other areas. Also, taxation will become more understandable for businesses, especially since the initiative that envisages 0% on reinvested profits was long-awaited. I think we will get good results,” said the Deputy Director General of the Investment Agency.
Ion Iordaki specified that in the future, investors will have other benefits. Among them is the establishment of a special department in the Investment Agency for investors. According to statistics, in 2022, the volume of investments in Moldova amounted to 586 million dollars, 50 percent more than in 2021.