2018-摩尔多瓦投资机遇（英文版）-4mb

Summary of Republic of Moldova Investment Opportunities

Core Content

The Republic of Moldova presents a range of investment opportunities, supported by its strategic location, competitive labor costs, favorable tax regimes, and access to multiple free trade agreements. The country is positioned as a low-cost destination with a skilled and multilingual workforce, and offers various incentives to attract foreign direct investment (FDI) and promote business development.

Main Points

Location and Connectivity

• Moldova is bordered by Romania and Ukraine, providing access to both EU and CIS markets.
• It is connected via air, rail, road, and the Danube River to Europe and the Black Sea.
• The Giurgiulesti International Free Port is located at km 133.8 from the Black Sea, and is part of the Pan-European transport Corridor VII (2300 km long).
• Direct connections to Ukraine and Romania are available through key crossings.

Economic Overview

• Moldova's economy registered an average annual growth of 3.9% between 2011 and 2015.
• Key sectors include ICT, manufacturing, automotive, and agriculture.
• Industry production reached 15.2% of GDP in 2015, while agriculture decreased to 12.0%.
• The automotive industry had a total export value of over 257 million EUR in 2015, with a growth of around 13%.

Workforce and Education

• 80% of the population is multilingual, with proficiency in Romanian, Russian, English, French, German, and others.
• 33% of the population is under 25, indicating a young and dynamic workforce.
• Vocational education is well developed and aligned with the European framework of qualifications, ensuring a skilled labor pool.

Operational Costs

• Labor costs are among the lowest in the region, with an average of 1.80 EUR/hour in 2016.
• Average monthly wages are 235 EUR, with a gross average wage of 4,514 EUR in 2016.
• Rental prices in Moldova are 2–4 EUR/m², with lower rates in Free Economic Zones (FEZs).

Tax and Customs Incentives

• Corporate tax rate is 12%, with reductions to 6% in FEZs and 3% in the Free Port.
• VAT and customs duties are exempt for equipment and machinery in FEZs.
• AEO (Authorized Economic Operator) status provides benefits such as simplified customs procedures, priority border crossing, and reduced controls.
• A 10-year guarantee for the tax and customs regime in FEZs and 15 years in the Free Port.

Free Economic Zones (FEZs)

• There are 7 FEZs in Moldova, located near borders or in major cities.
• FEZs offer reduced CIT rates, VAT and customs duty exemptions, and state guarantees.
• Companies can benefit from a preferential customs and tax regime, with 0% CIT for 3 years when investing 1 million USD and 0% VAT for equipment and machinery.

Industrial Parks

• There are 8 Industrial Parks in Moldova, offering land re-zoning, normative land prices, and reduced rental costs.
• Infrastructure development and minimal state inspection regimes are supported.
• These parks are potential centers for investment and industrial/IT projects.

Trade Potential

• Moldova has signed free trade agreements with 43 countries, including the EU (500 million customers), CIS countries (250 million customers), Turkey (80 million customers), and CEFTA (30 million customers).
• Exports to the EU amounted to 2.08 billion EUR in 2015, with imports growing by 5%.
• Access to the US and Japan markets is available through the Generalized System of Preferences.

FDI Facts

• In 2015, FDI inflows reached 239.3 million EUR.
• Major investors include companies from the EU and Russia.
• Moldova is open to foreign investment and has a strong legal and administrative framework to support it.

Key Information

• Population: 3.55 million, with 814,000 in Chisinau.
• Currency: MDL, with 1 EUR = 21.63 MDL.
• GDP per capita at PPP: 9.7% in 2015.
• Inflation rate: 9.7% in 2015.
• GDP current prices: 5.78 billion EUR in 2015.
• Doing Business 2017 Rank: 44 out of 190 countries.
• Business Start-up Procedures: 4 procedures and 1 day to register a business.
• Taxes & Customs:
  • Corporate tax: 12% (6% in FEZs, 3% in Free Port).
  • Individual income tax: 7% for income below 29,640 MDL, up to 18%.
  • Social security: 6% for employees, 23% for employers.
  • Health insurance: 4.5% for both employees and employers.
  • VAT: 20% standard rate, 8% for pharmaceuticals, 0% for international transportation.

Success Stories and Industrial Competencies

• Dräxlmaier AG, Lear Corporation, Confezione Andrea, Südzucker AG, Lactalis-Alba, Gebauer&Griller, Steinel Electronic, La-farge, Pentalog, Fujikura Automotive, and SEBN have established plants or sourced from Moldova.
• The country's competitive advantages include strategic location, low labor costs, and favorable tax and customs regimes.

Investment Support

• Moldova offers comprehensive support for foreign investors, including consulting services, project management assistance, and location scouting.
• AEO status and FEZ/Industrial Park incentives are available to streamline operations and reduce costs.
• The government collaborates with institutions such as MIEPO to support foreign investment in the agriculture sector.

Conclusion

Moldova is an attractive investment destination due to its strategic location, skilled workforce, competitive labor and operational costs, and a range of tax and customs incentives. With strong trade agreements and a supportive business environment, it offers a solid foundation for long-term investment and business growth.