Moldova's economy: IT sector fuels recovery amid challenges
Despite a challenging economic period for the Republic of Moldova, marked by a mere 0.1% GDP growth in 2024, certain key sectors are starting to show signs of recovery and could become engines of sustainable development.
Agriculture was severely affected by drought, a phenomenon that contributed to an economic decline of over 1.3% last year. Concurrently, the external environment, with geopolitical instability and energy crises, continues to negatively impact regional economies, including the Republic of Moldova's, according to Doina Nistor, the Minister of Economic Development and Digitalization.
"Ukraine experienced the largest decline during the war, so its current growth is partly a rebound. It's similar for us, but the primary cause of our GDP decrease was the drought in agriculture, a factor beyond our direct control. For the current year, we're still awaiting clear figures. We'll see what kind of harvest we have and what the growth will be in the services sector, a rapidly expanding field," Doina Nistor stated during a Tv8 broadcast.
Nevertheless, despite these difficulties, the national economy is gradually restructuring its priorities. The services and IT sectors are seeing spectacular growth, and the trend is positive, the Minister emphasized.
"The IT sector has grown exponentially in recent years, reaching from 2.6 million dollars to over 700 million. It's one of the most dynamic branches of our economy," she added.
Simultaneously, authorities are preparing investments in digital skills training, especially in artificial intelligence (AI). A draft law for the development of Moldova Hightech Park, a technology park that will connect IT with strategic sectors like agriculture and medicine, was recently approved.
"We don't just aim to grow the IT sector; we want to integrate it into the entire economy to become more competitive in traditional areas through technology and innovation," Doina Nistor further affirmed.
The Minister of Economy highlighted that even if current figures seem modest, the investment trend, support for companies, and an orientation towards added value could provide the Republic of Moldova a stable framework for economic recovery.
The Republic of Moldova's Gross Domestic Product (GDP) decreased by 1.2% in the first quarter of 2025 compared to the same period last year, according to data published on June 16 by the National Bureau of Statistics. The decline was primarily driven by issues in goods trade: exports fell by 19%, while imports increased by 21%.
According to a press release from the Ministry of Economic Development and Digitalization, this trend reflects both reduced external demand and the impact of the 2024 summer drought on agriculture and industry.
Translation by Iurie Tataru
