The Gross Domestic Product (GDP) in the first quarter of this year rose by 3.1% compared with the corresponding period last year. The growth stemmed from the rise witnessed in agriculture, industry, building, retail and wholesale trade, IPN reports.
According to the Ministry of Economy, retail and wholesale trade increased by 11.8% compared with the first quarter of last year, while the gross value added in agriculture grew by 1.8%. The rise in the production volume in agriculture was due to the augmentation of animal production.
The foreign demand for such industrial sector goods as food and furniture led to a 1.2% increase in the gross value added and this had a 0.2% contribution to the GDP growth.
According to the Ministry of Economy, the risks related to the difficult situation in Ukraine and the economic recession in the Russian Federation persist, negatively influencing Moldova’s economy through the export of Moldovan products, remittances and investment. The resumption of external financing led to a rise in investment, while the higher remittances positively influenced consumption. As a result, the domestic demand increased, being by 34.3% higher than the GDP. This shows that the economy’s necessities are much higher than its production capacity, the difference being satisfied from foreign sources.
