Create a global partnership for development

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.

International targets

  • Further develop a transparent, predictable and non-discriminatory trade and financial system based on rules, which would include a commitment for good governance, development and poverty reduction both on national and international levels.
  • Address the special needs of the poorest countries. This includes: tariff or quota free access for exports from these countries; cancelling the debt of poor countries with big debts; cancelling official bilateral debts; and providing official assistance for a more meaningful development to countries committed to poverty reduction.
  • Address the special needs of landlocked countries and small developing islands.
  • Comprehensive approach to debt issues faced by developing countries through national and international actions that would make the debt sustainable over long-term.
  • In cooperation with developing countries, create decent and productive jobs for the youth.
  • In cooperation with pharmaceutical companies ensure access to major drugs at reasonable prices to the population of developing countries.
  • In cooperation with the private sector, make available new technologies, especially information and communication technologies.

National targets

  • Further develop a transparent, predictable and non-discriminatory trade and financial system based on rules by promoting exports and attracting investments.
  • Deal with issues associated with Moldova's landlocked status by upgrading transportation and customs infrastructure.
  • Monitor external debt issue.
  • Develop and implement youth strategies. Reduce youth unemployment to 15 percent in 2010 and 10 percent in 2015.
  • Ensure access to basic medication.
  • Build an information society. Double the number of fixed and mobile telephone subscribers from 2006 to 2015 and increase the number of personal computers and Internet subscribers by at least 15 percent each year.

 

Current situation

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.

NBM.

 

The Private sector is an important force in meeting the MDGs. It:

-Is the engine of economic growth & main contributor to public revenues
-Provides jobs and access to necessary products and services

-Has an influential role in tracking child labor in the work place
-Felicitates the education of employees’ children and invests in education

-Strengthens women’s economic capacity as entrepreneurs, employees and producers
-Contributes to and invests in women’s leadership development

-Provides affordable health products and services, including donations
-Advocated to suppor the Rights of the Child and support children’s issues

-Provides affordable heath products and services, including donations
-Improves working conditions and occupational health for women

-Provides affordable health products, services and innovative solutions
-Implements workplace HIV/AIDS programmes focused on education, prevention, treatment

-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
-Is a crucial partner in supporting youth employment & making new technologies available