● TUESDAY, March 26
Remittances last month 5.2% down
A total net sum of US$88.83 million was transferred from abroad to private individuals in Moldova through licensed banks this February, a decrease of 5.2% compared with last February. The largest amounts came from the EU – 44.5%, the CIS – 21.7% and the rest of the world – 33.8%. According to the National Bank of Moldova, remittances from Israel accounted for 20.8% (US$18.51m) of all the transfers, up 3% on last February. Transfers from Russia constituted 20.6%, from Italy – 12.7%, from the U.S.– 8.2%, from Germany – 7.5%, from the UK – 6.2%, from France – 4.5% etc. In January – February 2019, transfers from abroad to Moldovans came to US$174.82 million, a decrease of 7% compared with the corresponding period last year.
Free assistance offered under Farmer-to-Farmer Program
In the next three years, farmers, cooperatives and agricultural higher education institutions in Moldova will get free counseling from 45 American specialists volunteering their expertise in fields like eco-friendly agriculture, dairy farming and animal husbandry. This is possible thanks to a new phase of the Farmer-to-Farmer Program that has launched today. Nadejda Mocanu, director of Farmer-to-Farmer Moldova, this marks the program’s return to Moldova after a break since 2013. In the next three years, U.S. experts will make short visits to Moldova to share their experience according to the chosen subjects and the needs of the beneficiaries. The Program cooperates with the employers’ organization “Moldova Organic Value Chain Alliance” (MOVCA), the Agrostoc Cooperative, the Agrarian State University, the State University “Alecu Russo” from Bălţi, and the Association of Farmers and Milk Producers of Northern Moldova. The Farmer-to-Farmer Program was adopted by the U.S. Congress in 1985 as a an instrument to provide developing economies with know-how and expertise offered on a volunteer basis by American farmers and experts. The monetary equivalent of the technical assistance provided by volunteers under the Program in Moldova is over $446,000.
Landline phone service sales drop by nearly 20%
Sales of landline telephone services in 2018 dropped by almost 20% to 556.8 million lei. Data aggregated by the National Regulatory Agency for Electronic Communications and Information Technology (ANRCETI) show that the number of subscribers decreased by 35,600 (-3.1%) to roughly 1.1 million users. ANRCETI said in a press release the decrease in the number of subscribers was due to the overall shrinking of the subscribers’ base of all the 23 active landline telephone service providers. The national operator Moldtelecom reported a 2.7% drop in subscribers and alternative providers reported a 6.4% decrease. The amount of voice traffic in this sector decreased by 248.9 million minutes (-15.7%) and amounted to more than 1.3 billion minutes. Traffic to international networks decreased by 31.2%, to other national landline networks - by 15.8%, and to mobile networks - by 11.8%. Average monthly voice traffic per subscriber amounted to 156 minutes. As of late 2018, Moldtelecom had a market share of 95.5% by sales, and alternative service providers had 4.5% combined.
At least fourteen air passengers reimbursed last year
At least nine air passengers were compensated last year for prolonged flight delays, two for cancelled flights, and three others for being denied boarding, IPN learned from the Civil Aviation Authority, which in 2018 processed a total of 73 claims and offered corresponding guidance. The amounts claimed ranged from 4,900 lei to 51,000 lei, and the airlines complained about included Air Moldova, Fly One, Wizz Air, Tarom, Ukrainian Airlines and S7. The Authority said its information could be incomplete, as the claimants are not required to report back to the Authority about the completion of the cases and about the sizes of compensation actually awarded.
● WEDNESDAY, March 27
Practical pieces of advice for private individuals who pay income tax
The private individuals who pay income tax and have questions as to the writing or submission of tax returns for 2018 can contact the Call Center of the Center of Information Technology in Finance on 080001525 free of charge. The Center’s operators provide consultancy from Monday through Friday between 8am and 5pm. Calls can be made from any locality of the country from a mobile or landline phone. Oleg Vîrlan, head of the Center’s Client Assistance Division, said that following the reform of the autumn of 2018 and the changes made to the tax rate ceilings, the private individuals who pay income tax are to fill out and submit two types of tax returns – the statement on the income tax for January 1, 2018 – September 30, 2018 (Form CET 15) and the statement on the income tax for October 1, 2018 – December 31, 2018 (Form CET 18). The deadline for submissions is May 2, 2019. The interested taxpayers can find out more information about the filling out of tax returns for 2018 and the methods of determining the rise in capital on the State Tax Service’s website www.sfs.md, where they will find video courses on the issue.
Moldovagaz to take all meter readings remotely
This year Moldovagaz is implementing an automated system to collect gas meter readings remotely, with the first to be consumers in Chisinau, the gas company announced in a press release. The system is needed in order to automatize all processes, from taking meter readings to billing to bill payment, informs the release. The automation, argues Moldovagaz, will reduce reading errors and as a result consumers will pay for exactly what they consumed. Moldovagaz agents will no longer need to monitor meters and take their readings at their physical locations. The system will be implemented gradually, with the first phase to be done in cooperation with the utility Chișinău-gaz.
● THURSDAY, March 28
Commercial mediation and arbitration to become more visible in Moldova
Commercial mediation and arbitration will be fortified to become more visible all over Moldova. The efforts will be aimed at strengthening the capacities of the Mediation Council, the Mediation Center of the Chamber of Commerce and Industry, regional mediation centers and other mediation players. The fourth phase of the project “Prospects of commercial mediation and arbitration in the Republic of Moldova” was kicked off the end of 2018, but the event to launch this was held at the Ministry of Justice on March 27. The project is implemented by the Ministry of Justice, the European Bank for Reconstruction and Development (EBRD), the Center for Effective Dispute Resolution and the International Development Law Organization (IDLO), with financial support from the United States Agency for International Development (USAID). In the launch, Eduard Serbenko, secretary of state at the Ministry of Justice, said the Ministry fully supports the alternative dispute resolution methods, namely the development of the commercial meditation and arbitration capacities. These generate such advantages as swiftness, lower costs, confidentiality, reduced hostility between the conflicting sides. The strengthening of these methods remains a constant priority of the Ministry of Justice and the foreign partners’ support in this regard plays an important role. USAID Mission Director Karen Hilliard noted that alongside other partners and the Moldovan authorities, they support the development of the judicial system’s capacities for promoting high-quality mediation and arbitration. It is important to increase the beneficiaries’ confidence in these services and this event represents an open and good platform for discussions, for the identification of actions that need to be taken to fortify this sector.
Fiber optic internet users rose 13.4% in 2018
The number of subscribers using broadband fiber optic internet (FTTX) services rose by 13.4% last year to about 394,000. Meanwhile, the number of subscribers using coaxial cable connections increased by 4.9% to 44,300. Digital subscriber line (xDSL) connections dropped by 5.5%, to 182,000 users. According to the National Regulatory Agency for Electronic Communications and Information Technology, the total number of subscribers to fixed broadband Internet services constituted 623,000 users. During a year, the penetration rate of fixed Internet services per one hundred population increased by one percentage point to 17.5%. The market shares of the largest fixed broadband service providers are as follows: Moldtelecom - 63.7%, Starnet - 20.9% and Sun Communications - 3.5%. Other providers have 11.9% combined.
● FRIDAY, March 29
Kiril Gaburici announces what road sections will be repaired by this yearend
A number of road sections will be made available for use after renovation by the end of this year. One of these is the Chisinau-Ungheni highway whose repair has been delayed for several years, Minister of Economy and Infrastructure Kiril Gaburici was quoted by IPN as saying in a talk show on Publika TV channel. According to Kiril Gaburici, a number of road sections will be rehabilitated in southern Moldova. “We hope to also start works on the belt around Chisinau city. This is also a very important project. We all know what is going on in the city. The belt would give a little more air to Chisinau and would also attract additional investment to the area,” he noted. Kiril Gaburici also said that several sections of the roadway that goes to the Giurgiulești Port will also be reconstructed so that Moldovan goods could be easily transported to this port in a year.
Roadmap for improving competitiveness 86% implemented
The policy matrix of the roadmap for improving competitiveness in Moldova in 2018 was 86.5% implemented, compared with 71% in 2017. The best results were achieved in such areas as human resources - competition, taxation and fiscal administration (100%) and trade facilitation (95.5%). The implementation level of the policies to promote sustainable economic development was assessed by the Competitiveness Council, IPN reports, quoting a press release of the Ministry of Economy and Infrastructure. According to the authorities, the most important accomplishments are related to the regulatory reform that has a direct impact on the business environment and ensures the diminution of the tax burden faced by the business community, and the reform of the state inspection of entrepreneurial activities that envisions the optimization of the number of institutions with inspection duties. The roadmap for improving competitiveness in Moldova that was approved in 2014 is the strategic document worked out to successfully implement the Moldova - EU Association Agreement, including the Deep and Comprehensive Free Trade Agreement.
National Bank and “Expert-Grup” to carry out financial education activities in 2019
The National Bank of Moldova sand the Independent Think Tank “Expert-Grup” will combine forces to increase awareness of the main financial-banking concepts and products among the population so that the people could take correct decisions in the management of the own incomes when they encounter particular situations. The two institutions signed a partnership agreement to this effect. In the framework of the project “Learn! Give meaning to money”, opinions about the expectations and needs of financial education will be collected from all the interested players. Later, there will be worked out analytical notes concerning the main financial concepts and events with a financial impact from people’s lives. There will be staged debates, open lessons and summer schools. The project’s target group includes the teens, young people, beginner entrepreneurs, employees, persons who make savings and investments, recipients of remittances, etc. A series of informative materials will be produced within the project to present the most important events with a significant financial impact in the life of a person in the most explicit way. Among the most important events with a financial impact typical of Moldovan society are the raising of a loan or a home loan, buying of a car in leasing, insuring of personal goods, investment in financial instruments, etc. The project is to be implemented in the course of 2019.
Ukraine to grant Moldova additional 30,000 road haulage permits
Ukraine is giving Moldova an additional 30,000 road haulage permits, two-thirds over the original 2019 quota, under an agreement reached by the bilateral commision on international road transport at a meeting in Kiev. Ministry of Economy state secretary Serghei Bucataru told IPN the addition will benefit haulers traveling both to Ukraine destinations and transiting Ukraine to reach Belarus and Russia. Bucataru recalled the 2016 crisis when Moldova ran over the Ukraine quota and many haulers were unable to make good on their contractual obligations. The 2020 quota was preliminary agreed to be 60,000 permits, as permits for vehicles with the emissions class Euro 3 and above could be scrapped altogether, says Bucataru. At the Kiev meeting, Ukraine also agreed to grant 500 additional permits for occasional transportation of passengers, which are usually requested by travel agencies.
SATURDAY, March 30
Twenty companies in Moldova grow flowers in commercial quantities
Twenty business entities in Moldova cultivate ornamental plants on a total open field area of about 8 hectares in nine districts of the country. In a response to an inquiry made by IPN News Agency, the National Food Safety Agency said the business entities grow different species of flowers, such as chrysanthemums, yellow lilies, tulips, gladioluses, hyacinths, narcissuses, hibiscuses, petunias and hydrangeas. Open field flowers are cultivated in the districts of Ialoveni, Orhei, Sîngerei, Strășeni, Stefan Vodă, Criuleni, Drochia, Dubăsari and Glodeni. According to the National Food Safety Agency, cut flowers or flowers in pots haven’t been exported from Moldova in commercial quantities during the past three years.
Gross external debt at US$ 7,302m at end of 2018
Moldova’s gross external debt rose by 4.8% in nominal terms compared with the start of the year, but declined by 7.4 percentage points in relation to the Gross Domestic Product. On December 31, 2018, this stood at US$ 7,302.02 million, which is 64.6% of the GDP, IPN reports, quoting the National Bank of Moldova. The public and publicly-guaranteed external debt represented 26.6% of the external debt, totaling US$ 1,938.89 million (-3% compared with January). The private non-guaranteed external debt came to 5 363.13 million, an increase of 8% on December 31, 2017. The long-term debt accounted for 72.2% of the external debt. In 2018, the short-term external debt continued to rise (+15.2% on December 31, 2017). This was mainly due to the augmentation of the external commitments in the form of trade credits and advances.
