Expert-Grup

Resilience of Economic Relations between the Republic of Moldova and the European Union in the Face of Shocks

Integrare europeanăPolitici de creștere economicăWednesday, 8 May 20245082 views
Project:
Strengthening the Monitoring Capacity of Civil Society in Moldova

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

This article by the Independent Think Tank “Expert-Grup” examines how the European Union has become central to the sustainable economic development of the Republic of Moldova. It shows that bilateral economic ties proved remarkably resilient in 2023, despite the ongoing regional security crisis.

The European Union is Moldova’s main trading partner and primary source of foreign direct investment. In 2023, Moldovan exports to the EU, as well as investment and remittances from the EU, increased, even as flows with other countries declined. The EU also continued to provide loans and grants for modernisation and reform projects and to support vulnerable people.

The Deep and Comprehensive Free Trade Area, created in 2014, boosted exports: 65% of goods exports went to the EU in 2023, and the trade deficit with the EU fell from 14% of GDP in 2013 to 9% in 2023. Yet its potential remains under-used. Romania took 35% of exports and more than half of those bound for the EU, while over 80% of EU-bound exports go to just five countries, with geographic diversification declining.

View the original in Romanian