Moldova: A “Stable” Economy

Moldova's economy has been declared “well-protected […] from the slowdown” by London-based magazine The Banker. Eternal Remont comments: “This one gets filed under, ‘I've been down so long it looks like up to me’.”


  • Randolph Anthony Piazza

    How can we say that the economy of Moldova is stable if 50% of the working age population is working abroad generating 38% of the GDP? How can we seriously deem such a state of affairs to be stable?

    What Remittances Are Not Able To Do

    In spite of the massive inflows of remittances there persist numerous reasons for Moldovans leaving their country such as the bad roads, lack of gas, no sewerage, no running water and low wages. These problems can only be solved by the central government which has no access to remittances, nor should they argues François Bourguignon, chief economist and senior vice president of the World Bank in WASHINGTON on November 16, 2005, “Remittances are hard-earned income that, in most cases, has already been taxed, They should not be taxed again, and governments should not try to count them as development aid.” In addition to remittances being out of bounds for the central government, its GDP in 2002 had nose-dived around 70% since 1989 and 75% of this already weakened budget was devoted to paying its foreign debt. Dr. Joseph Stiglitz recalls the tragic human consequences of the burden of debt, “It got very emotional when the daughter of one of [our] associates went to the hospital, the hospital ran out of bottled oxygen, and she died. There was no oxygen in the entire country. They couldn’t afford a stable supply of goods, in part, because their foreign exchange was being used to service the foreign debt.”

Join the conversation

Authors, please log in »


  • All comments are reviewed by a moderator. Do not submit your comment more than once or it may be identified as spam.
  • Please treat others with respect. Comments containing hate speech, obscenity, and personal attacks will not be approved.