Newsletter Issue 58 | March – April 2020

The economic impact of the Corona crisis in Moldova

Amidst the global pandemic caused by the Corona virus, the government of Moldova was forced to enact strict containment measures in order to avert a public health crisis. While there are tentative signs that the spread of the virus is slowing, the toll on the economy is likely to be drastic.


Newsletter Issue 57 | January – February 2020

Robust growth in 2019 despite political instability

The Moldovan economy grew by an estimated 4.2% in 2019, which is comparable to previous years. Growth was primarily driven by investments which increased by around 16%. Amidst buoyant investment activity, the construction sector showed the highest growth rate among the main sectors of the economy, increasing by 19% in 2019.


Newsletter Issue 56 | November – December 2019

Change of government in Moldova, again

Maia Sandu’s government was dismissed in a no-confidence vote on 12 November, after her government assumed responsibility for a bill that would have put the Prime Minister in charge of the short-list of candidates for the Prosecutor General. This proved to be a no-go for her coalition partner, the Socialists Party, who were long insisting on a government reset. A new cabinet was appointed two days later, with the support of the weakened, but still numerous Democratic Party. Moldova’s Western partners expressed worry, reiterated the need to fight corruption, but said cooperation would continue based on principles of conditionality and respect for rule of law.


Newsletter Issue 55 | September – October 2019

Current economic situation: investment-driven growth

Economic growth is expected to reach 4.2% in 2019, thus surpassing earlier forecasts. The main reason for high growth is the strong increase of investment by over 20% in the first half of 2019. This development is reflected by an expansion in the construction sector, which grew by ca. 27%.


Newsletter Issue 54 | July – August 2019

Moldova’s new government – a country less divided, for now

An unlikely coalition was formed between the pro-Russian Socialists and the pro-EU ACUM bloc, after what looked like a geopolitical consensus between the USA, EU and Russia to oust Vladimir Plahotniuc, who had crossed too many lines lately.


Newsletter Issue 53 | May – June 2019

The effect of the DCFTA on Moldovan exports to the EU

Moldova signed a deep and comprehensive free trade agreement (DCFTA) with the EU in 2014, which came into force in the same year. After almost five years of implementation, we analyse the impact of the DCFTA on Moldovan exports to the EU.


Newsletter Issue 52 | March – April 2019

Household over-indebtedness with micro-financial institutions

The German Economic Team Moldova together with the National Commission for Financial Markets has collected data on household over-indebtedness with micro-financial institutions. Although the data in our sample is probably only an approximation of the actual situation, it is closing an information gap.


Newsletter Issue 51 | January – February 2019

Parliamentary elections in Moldova – what to expect?

Parliamentary elections are set to take place in Moldova on February 24th. Similar to prior elections the government introduced new rules, which are supposed to influence the results somewhat. Among others, there is a new electoral system and the possibility to have referendums on election day.