IMF notes Moldovan successes in tax and monetary policy

The International Monetary Fund (IMF) has provided US$79 million to Moldova, noting its economic progresses.
INFOTAG, 15 July 2011, 16:53

According to the Reuters statement, Moldova strongly depends on remittances of gastarbeiters [citizens temporary employed abroad] and on wines exports.

The credit program in the amount of US$586 million is projected for 2010-2012 and is aimed at the decrease of budget deficit and inflation and at the state presence in the economic sector.

According to the IMF statement, Moldovan economy successfully recovered after the 2009 decrease and the forecast is positive.

The Fund said that a stable growth will continue in 2011 as it will be urged on by active domestic demand and large exports.

According to the IMF, it is praiseworthy that Moldova toughened monetary and tax policy, advising it to not stop at what has been accomplished if the high energy resource price influence will lead to inflation acceleration or domestic demand will go up more.

The Fund forecasted that Moldovan GDP will go up 5% in 2010-2012 and inflation will reach 8% in 2011 and 5.8% by the end of 2012. Last year, Moldovan economy went up 6.9% and consumer prices - up 8.1%.
For 2011, the Government projected budget deficit of 1.9%, forecasting that the indicator will not exceed 0.5-1% by the end of 2012, but it can not be ruled out that the budget will be with surplus.

© 2011 INFOTAG all rights reserved