Economic Policies on February 15–28, 2006

Labour market

Salaries rose by about 7 percent on average in 2005…

According to statistics, real salaries rose by 7 percent in 2005, while the medium wage on economy accounted for about 1,350 lei (105 dollars). The salary growth resulted with administrative rises in budgetary sector, because we think that the rise of the real medium salary on economy was much lower than in 2004, when it grew by 7.6 percent. Indeed, salaries rose slower in 2005 than in 2004, though the inflation rate was lower.

…a trend that could continue in 2006, too

On the other hand, some revenues of households rose visibly. We may mention among others the currency means (estimated at over 800 million dollars) as pay for work transferred from abroad. The rise rates of salaries in national economy are expected to remain at the level of 5–7 percent in 2006 (except for budgetary sector, in which wages are expected to grow much more).

Monthly medium salary in Moldova is 5.6-fold lower than in Estonia…

If we make a regional comparison regarding the monthly medium salary on economy for 2005, the Republic of Moldova ranks the 7th place in the CIS, paying a medium salary of about 105 dollars a month in 2005. The monthly average salary in the Republic of Moldova is 5.6-fold lower than in Estonia, for example, a country which pays the highest medium salary in the former Soviet Union.

Medium salary in CIS and Baltic Countries (in USD)

Business environment

Foreign direct investments in Moldova are estimated at about 300 million dollars for 2006…

The Moldovan Export Promotion Organisation (MEPO) forecasts foreign direct investments (FDI) in the amount of 300 million dollars for 2006, after FDI reached in 2005 a record level for the past 15 years — 260.3 million dollars, by 7.7 percent more than in 2004. A record number of foreign companies — 721 firms — were registered in Moldova last year or by 65 percent more than in 2004. This rise will influence in 2006 the general evolution of foreign investments in Moldova.

Moldova attracted FDI worth 114.9 million dollars in 2001, 166.8 million dollars in 2002, 102.9 million dollars in 2003, 241.8 million dollars in 2004, and 260.3 million dollars in 2005. According to estimates, FDI will reach 1.5 billion dollars overall in late 2006 for 15 years of independence. This is an annual average of FDI placed in Romania, for example.

e-democracy.md