Disparity between economic growth from the capital and poverty from villages increases

National and international experts gathered in Chisinau to discuss regional development polices in some countries from East and Central Europe. The conference “Regional development: policies and practices in Central and East Europe”, that started its works on Wednesday, the 28th of June, sets as its goal to become a discussion forum and experience exchange one regarding the implementation of these policies, especially in member states of the European Union (Latvia, Check Republic, Slovakia), the countries that are about to adhere (Romania, Bulgaria) and from the neighboring EU countries (the Republic of Moldova, Ukraine). The Forum gathers international experts, professionals and specialists in the public field representing different sectors and institutions: local and central public administration, parliament and other state institutions, bilateral and international development agencies that perform local and regional development programs in the Republic of Moldova, civil society, scientific groups and private sector. The Conference is organized by the Ministry of Local Public Administration of the Republic of Moldova and United Nations Development Program (UNDP) Moldova. The participants in the Conference expressed their hope that a stronger consensus between the main actors will be reached: Government, donors, development agencies, civil society and private sector regarding the elaboration of regional development strategies in Moldova, identifying common vulnerable points, including from the institutional and fiscal sphere and regional development opportunities. The studies presented by the Economic Growth and Poverty Reduction Strategy (EGPRS) show that poverty is concentrated in small towns and rural localities, and the discrepancy between the incomes from the capital and the rest of the country is increasing. The experts say that considerable differences of economic development of the regions cause substantial territorial differences of the level and life quality of the population. According to the studies, this phenomenon is worsening problems related to inequality and poverty, because the well-being and possibilities of citizens and families strongly depend on their place of living. Presently, economic growth is concentrated in the capital. The GDP per capita in Chisinau municipality is 3.2 times higher then the one from the regions, and the volume of investments- 5.9 times higher. Meanwhile, more than 60.3% of taxes come from the capital. According to EGPRS studies, there are big differences between the raions as well. So, the GDP per capita in Taraclia is 1.3 higher than the average raions index (except Chisinau), and in Orhei and Lapusna - 1. 2-fold lower than the country average. The conference “Regional development: policies and practices in Central and East Europe” will continue its works on the 29th of June.

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