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Attracting foreign investors in Moldova PDF Print E-mail
Written by Ana Bâtcă   
Thursday, 08 April 2010 18:38

Political changes have improved the image of Moldova abroad. After the crisis will pass over the Prut are expected EU companies and particularly in Romania.


After a recession of 6.5% last year, Moldova's economy begins to recover with timid steps.

Moreover, they predict good times nomiştii cross. This is because, after leaving the helm of the Communist Party were thawed political and economic relations with the West.

Today, foreign investment Moldovans expects us to enter the country. To attract them, they rely on cheap labor, low taxation, but also that many areas are still little exploited, such as infrastructure, telecommunications, energy, especially alternative sources, according to Andrei Trifăuţan, Director to attract investment in MIEPO organization attracting investment and exports in Moldova, the Ministry of Economy there.

10 reasons that attract firms Prut


1. replacement of the communist regime with a democratic
2. same language spoken
3. a similar mentality
4. reinvested earnings are not taxed
5. cheap labor
6. potential in many areas
7. EU trade facilities
8. CIS free trade agreement
9. Moldova is a member of CEFTA (Central European Free Trade Agreement)
10. tax incentives of the six free economic zones

EC RECOMMENDS EXPERTS

Solutions for Government over the Prut


Simpler procedures to bureaucratic administrative system and reform of public ad ministraţiei are two of the recommendations it makes the present Executive of Moldova, Alex Oprunenco, director of international programs at the center of analytical Expert Group. According to him, it takes "fewer people, but more efficient, so that officials from the ministries do not protect certain companies in the industry.

A third solution is to increase exports through increased competitiveness, but also due to a better economic climate. Promoting the image of Moldova in the EU is another recommendation that an expert is in Chisinau. "We need to pass not only rulers but also to investors that the situation in Moldova is changing, consider Alex Oprunenco.

The new government has failed to give positive signals in addition, for which he received foreign loans worth nearly 2 billion, of which over half are non-refundable. The European Commission will allocate 550 million of Moldova, of which 100 million are given to Romania. IMF and other financial institutions give a loan of around 958 million euros.

Early elections would benefit the Filat

Beyond the good impression he has managed to make out, the executive in Chisinau, composed of ministers from four different parties, is crushed by internal strife, says expert group representative.

How would the situation change if political parties would take place early elections? In his view Oprunenco, Our Moldova Alliance may not enter the parliament and the Liberal Party could lose seats because "rating Chisinau mayor and the party falls.

Moreover, the image of the Liberal Democratic Party is better than a few months ago. 'S premier party Filat and very publicized. They administrative levers and even the people of the territory, former Communists, LDPM pass, "explained the expert, for EVZ.

According to him, the Democratic Party, led by Marian Lupu, passed in the shadows, even if it was based on an image of reconciliation, of consensus. Regarding the Communist Party, it probably would add fewer votes, after losing the administrative levers, but also members of the party.

POLITICAL EFFECTS

Romanians interested in business in Moldova

Regime change in Chisinau desire thawed EU companies, especially in Romania, to do business in Moldova. This was noted both by representatives of the Ministry of Economy of the Prut, as well as those of the Eurasian Chamber of Commerce, which facilitated trade between Romania and the countries of CIS.

"Is dictated by political economics. Romanians are tempted to expand business in Eastern Europe. We recommend to make joint venture (joint venture - No), we stated Eurasian Chamber of Commerce representatives. According to them, there are business opportunities in the franchise, but also in food production and marketing of eco.

The increasing interest of foreigners MIEPO and put into promotion of Moldovan products in fairs and exhibitions. But still, in most cases there are only intentions will materialize, most likely after the crisis. Second, "crisis conditions enable businessmen to invest at low prices," Andrew Trifăuţan highlights.

ADVANTAGES FOR INVESTORS

10 reasons that attract firms Prut


1. replacement of the communist regime with a democratic
2. same language spoken
3. a similar mentality
4. reinvested earnings are not taxed
5. cheap labor
6. potential in many areas
7. EU trade facilities
8. CIS free trade agreement
9. Moldova is a member of CEFTA (Central European Free Trade Agreement)
10. facilities bescales of the six free economic zones

Author: Ann Batca


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Last Updated on Thursday, 08 April 2010 20:06
 


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