Moldova's national economy registers first signals of recovery

Chisinau, 8 June /MOLDPRES/ - After one year of major challenges, when Moldova’s economy was strongly hit by the extreme weather conditions and the pandemic crisis, the recent developments from the main economic sectors, according to statistics data published by the National Statistics Bureau (BNS), show the first signals of national economy’s recovery. They display a re-launch of the domestic and external demand, revival of the economic and investment activity, as well as increase in the volume of commercial transactions.  

According to the Economics and Infrastructure Ministry, the industrial sector returned to an ascendant trend in the first quarter of 2021, after continuous negative developments, triggered by the pandemic’s consequences. In January-March this year, the industrial production grew by 3 per cent. The energy sector had the biggest positive impact on the growth of the industrial sector (+24.2 per cent), as well as some branches of the processing industry: the light industry (+13.7 per cent), manufacture of furniture (+26.6 per cent), non-metal products from minerals (+15.7 per cent), machines and equipment (+32.9 per cent), etc. Nevertheless, the food industry and a part of the branches of the machine-building industry remain in decline, being further affected by the consequences of the drought and the pandemic.     

The evolution of the retail trade and of the one with services provided to residents shows an improvement of the demand on behalf of the population. In January-March this year, the retail trade with assets recorded a 6.6-per cent increase (at comparable prices) and the commerce with market services provided to residents – by 31.1 per cent. The volume of services provided to enterprises also grew (+3.4 per cent) and the trade with vehicles increased by 14.4 per cent (at current prices). The wholesale trade remains decreasing (-4.8 per cent), although this commerce increased by 8 per cent in last March.        

The investments in fixed assets grew essentially in the first quarter of this year (+14.8 per cent). The investments in machines and equipment increased significantly (+21 per cent), in transport means (+51 per cent), as well as in engineering constructions (+11.4 per cent). This evolution was prompted by the friendly crediting situation, increase in the public investments and those financed from external sources. At the same time, the investments in residential and non-residential buildings remain decreasing (-5.7 per cent).   

As a result of the re-launch of the external demand on behalf of partner countries, the exports grew by 5.6 per cent in the first quarter of 2021. At the same time, the reestablishment of the domestic demand for assets on behalf of economic agents and residents led to a 13.6- per cent increase in imports. The negative trade balance increased by 21.5 per cent.  

The gross salary of a national economy employee stood at 8,486.6 lei in the first quarter of this year, increasing by 10.9 per cent in nominal terms against the first quarter of 2020. In real terms, the salary grew by 10 per cent. Expressed in hard currency, the salary was worth about 401 euros or 484 dollars. In the public sector, the average monthly salary amounted to 7,453 lei, increasing by 5.3 per cent and in the real sector – 8.839.8 lei, increasing, respectively, by 12.8 per cent (in nominal terms).    

photo: Economics and Infrastructure Ministry