MDGs in Moldova
For a transition country like Moldova, creating partnerships for development is essential for achieving higher living standards for the entire population and for integrating the country into European and international structures. Despite the perception that Moldova is an agricultural economy, the telecommunications sector is rapidly expanding, as is the financial sector, which is building the foundation for sustainable economic modernization.
The overall trends remain positive under certain national targets; one important overarching concern is the uptick in youth unemployment in the aftermath of the global economic crisis. Since 2008, youth employment has never recovered, with unemployment rate of 17.8% in 2010 and 14.9% in 2011, compared to 11.2% in 2008. The country continues to run a high negative trade balance with the rest of the world, with -38.2 % in 2010 and 40.9% in 2011 and rising. There is increased risk of widening of deficit given the effects of the current consumption-led growth model, a model which is unsustainable in medium and long term. The share of investments in the transportation sector as percentage of overall public investment increased to 16.4% in 2010, compared to only 7.2% in the previous year. Same positive trend is observed in air and naval transportation, with a share of 58.7% in 2011, compared to the 27.5% in the previous year. The fixed telephony penetration continued to slowly increase and reached 33.6% in 2011. The number of internet users subscribed to broad band services increased impressively and reached 355.1 thousand users in Q4 2011, compared to 186,9 thousand in Q4 of 2009. Public and publicly guaranteed debt, to include general government debt and that of the monetary authorities, steadily increased in the aftermath of the global crisis; in 2011 it reached 1.52 bil. USD, an increase of 12.8% compared to the previous year. The gross external debt as share of GDP represented 82.3% of GDP in 2010 and 77.9% in 2011. The public and publicly guaranteed external debt to GDP ratio constituted 23.2% in 2010 and 21.7% in 2011 . Overall, the growth constraints analysis for the Moldovan economy conducted in 2010 by the Government revealed that key constraints are the human capital, low quality of road infrastructure, and the limited access to loans. These constraints persist and their removal remains high in the national policy agenda.
The Private sector is an important force in meeting the MDGs. It:
-Is the engine of economic growth & main contributor to public revenues
-Has an influential role in tracking child labor in the work place
-Strengthens women’s economic capacity as entrepreneurs, employees and producers
-Provides affordable health products and services, including donations
-Provides affordable heath products and services, including donations
-Provides affordable health products, services and innovative solutions
-Has major environmental impacts and increasingly invests in product and business process innovations to lower impacts
-Is an important partner in promoting investments and open trading & financial system