Expert-Grup

The Role of State-Owned Companies in the National Economy and the Sectors Where They Are Most Present

Thursday, 10 December 20203932 views
The Role of State-Owned Companies in the National Economy and the Sectors Where They Are Most Present

Automatically translated summary. The full article is available in Romanian.

State-owned companies and joint-stock companies with a majority state stake play a significant role in Moldova's economy. They employ about 6.2% of all employees (over 34,000), according to a study by Stas Madan of the Independent Think Tank “Expert-Grup”, supported by Soros Foundation Moldova and presented at an online event.

The companies' turnover exceeds MDL 23.6 million and their total assets exceed MDL 55.8 billion. By headcount, the state is most present in postal and courier activities (93.7%), forestry and fishing (92.7%), and energy and utilities (50.7%). By turnover, the leaders are forestry and fishing (92.4%), waste collection and treatment (76.2%) and postal services (76.2%).

Madan notes that the state has been reducing its presence in sectors such as transport and printing, which he considers correct since the private sector performs best there. He explains that Poșta Moldovei pursues broad service coverage rather than only profit, hence somewhat lower efficiency. As of 1 January 2020, Moldova had 272 state companies: 207 state enterprises and 65 joint-stock companies with a state share above 30%.

View the original article in Romanian
State-Owned Companies in Moldova's Economy and Key Sectors