Moldova Business Resources

Economy - overview:
Moldova remains one of the poorest countries in Europe despite recent progress from its small economic base. It enjoys a favorable climate and good farmland but has no major mineral deposits. As a result, the economy depends heavily on agriculture, featuring fruits, vegetables, wine, and tobacco. Moldova must import almost all of its energy supplies from Russia. Energy shortages contributed to sharp production declines after the breakup of the Soviet Union in December 1991. As part of an ambitious reform effort after independence, Moldova introduced a convertible currency, freed prices, stopped issuing preferential credits to state enterprises, backed steady land privatization, removed export controls, and freed interest rates. The government entered into agreements with the World Bank and the IMF to promote growth and reduce poverty. The economy returned to positive growth of 2.1% in 2000, 6.1% in 2001, 7.2% in 2002, 6.3% in 2003, and 6.8% in 2004. Further reforms will come slowly because of strong political forces backing government controls. The economy remains vulnerable to higher fuel prices, poor agricultural weather, and the skepticism of foreign investors.

Airlines
Airlines in Europe
Airlines Worldwide

Airports
Airports in Europe
Airports Worldwide

Country Budget
revenues: $648.1 million
expenditures: $634.8 million, including capital expenditures of NA (2004 est.

Currency (code)
Moldovan leu (MDL)

Currency Exchange Rate
lei per US dollar - 12.33 (2004), 13.945 (2003), 13.571 (2002), 12.865 (2001), 12.434 (2000)

Fiscal Year
calendar year

GDP (Gross Domestic Product)
GDP (purchasing power parity): $8.581 billion (2004 est.)
GDP - real growth rate: 6.8% (2004 est.)
GDP - per capita: purchasing power parity - $1,900 (2004 est.)
GDP - composition by sector:
agriculture: 22.4%
industry: 24.8%
services: 52.8% (2004 est.)

Imports / Exports
Exports: $1.03 billion f.o.b. (2004 est.)
Exports - commodities: foodstuffs, textiles, machinery
Exports - partners: Russia 35.8%, Italy 13.9%, Romania 10%, Germany 7.3%, Ukraine 6.6%, Belarus 6%, US 4.6% (2004)

Imports: $1.83 billion f.o.b. (2004 est.)
Imports - commodities: mineral products and fuel, machinery and equipment, chemicals, textiles (2000)
Imports - partners: Ukraine 24.6%, Russia 12.2%, Romania 9.3%, Germany 8.5%, Italy 7.4% (2004)

Industries
food processing, agricultural machinery, foundry equipment, refrigerators and freezers, washing machines, hosiery, sugar, vegetable oil, shoes, textiles

Investing
Forex, Foreign Exchange Market: Currency Trading

Labor Force & Unemployment Rate
Labor force: 1.36 million (2004 est.)
Labor force - by occupation: agriculture 40%, industry 14%, services 46% (1998)
Unemployment rate: 8% (roughly 25% of working age Moldovans are employed abroad) (2002 est.)