Dumitru Alaiba, Deputy Prime Minister and Minister of Economic Development and Digitalization of the Republic of Moldova, during an interview with Europa Liberă Dumitru Alaiba, Deputy Prime Minister and Minister of Economic Development and Digitalization of the Republic of Moldova, during an interview with Europa Liberă.
Minister of Economic Development and Digitalization, Dumitru Alaiba, estimates that Moldova will experience an economic growth of around 2% by the end of this year, although to avoid “lagging behind Europe,” it would need an annual growth of 8-10% in the next decade.
“We cannot afford the luxury of growing by 3-5% annually,” the minister states in the video podcast “On the Agenda” from Europa Liberă, saying that he sees “the first signs of recovery.”
“The luxury” of being poor “The latest figures I have are from September. Statistically, exports are up by 9% compared to the same period last year, the industry by 1.5%, agriculture by 20%, and inflation in October has already dropped to 6.3%,” argues the minister. However, he nuances that the economy will only “breathe easier” after the end of Russia’s war against Ukraine.
“We are one of the poorest countries in Europe, and our people don’t deserve this title because we are a hardworking nation,” says the minister, promising that in 2024, attention will focus on financing entrepreneurs, attracting foreign investments, and supporting the business environment.
Hopes in IT
Now, the hope for the Moldovan economy seems to lie in the IT sector, and authorities in Chisinau are trying to attract more companies from this sector to Moldova, offering, among other incentives, a flat tax of 7% and less bureaucracy.
“The IT sector is a generator of highly qualified jobs. The IT sector is currently 5% of GDP, and there is room for growth here. It’s also about the workforce because in the Republic of Moldova, you can hire EU citizens without any problem, including for remote work.”