Exports will rise by almost 12% and, respectively, the balance-of-trade deficit will decrease following the liberalization of trade with the EU. The GDP will grow by about 4% on a short term and by almost 9% on a long term, in addition to the projected economic growth. These are some of the expected effects of Moldova’s association with the EU and the creation of the Free Trade Area, Prime Minister Iurie Leanca said in Parliament, quoted by IPN.

The Premier stated that the prices of consumer goods will fall by about 4%, the salaries will rise by up to 7%, while consumption will increase by 8%. Besides, Moldova will integrate its economy into a market with 500 million consumers with an increased purchasing power, where the same rules of the game are applied. This will make Moldova more attractive for investments, while the Moldovan products will have full access to the European market and will become more competitive.

The Government signed financing agreements for investment projects of over €1 billion with European organizations and banks. Almost 45% of the money allocated by the EU is intended for the rehabilitation of roads. There will also be supported agriculture and rural development, security and energy efficient, the justice reform, etc.

“We will use the European funds to continue the water supply and sewerage project in 2014-2015. We will connect over 27,000 people to the water supply system. Together with the partners from the EU, we launched the construction of the Iasi-Ungheni gas pipeline that will ensure additional access to natural gas. This pipeline, together with two bridges that will be built over the Prut River and the interconnection power lines that will be constructed in southern Moldova, will ensure the country’s integration into the European market,” said the Head of Government.

Iurie Leanca also said that the European Parliament approved the European Commission’s proposal to liberalize the EU market for Moldovan wines from January 1, 2014.

Moldova initialed the Association Agreement with the EU at the Vilnius EaP Summit on November 29. The Communists accused the Leanca Government of secretizing the negotiations and put forward a censure motion, which is the third this year.