The administration of the Transnistrian region asked the Russian Federation to provide financial support to it for developing the economy and consultative assistance in doing the fiscal and budgetary reforms, IPN reports, quoting the unrecognized government of the region.
Transnistria requested to be offered a long-term loan of US$130 million, providing calculations done based on the region’s economic indicators.
The ratio of persons who work in the real sector of the Transnistrian economy to pensioners is 106.7:100. Almost half of the 134,500 working persons are budget-funded employees. The fiscal pressure on the business sector is very big and represents 35% of the GDP.
The small businesses’ contribution to the local GDP is of only 10-12%. According to expert estimates, Transnistria occupies the 120nd position in the international investment attraction rankings, while its investments represent about 15% at a time when the necessities are of 35-40%.
The region’s financial body said it is impossible to augment budget revenues by increasing fiscal pressure on the real sector of the economy as business entities could stop work.
According to this source, the Government of Russia promised to examine the request, but said that an answer will be provided after the current state of Transnistria’s economy is thoroughly analyzed.
