The winemaking industry, light industry, local tourism and information and communication technology sector of the Republic of Moldova have witnessed a considerable development since they started to benefit from assistance from the U.S. Agency for International Development (USAID). These are the conclusions of a study based on statistical data from Moldova and other countries with which comparison was made for analyzing the competitiveness level and development trajectory of the country, IPN reports.
In the meeting of the Economic Press Club, USAID Mission Director for Moldova Scott Hocklander presented a critical assessment of the four areas based on the over 14 years’ experience of USAID assistance for competitiveness projects in Moldova. “I’m very impressed by the development I see in the Republic of Moldova. During almost 15 years, we managed to cover with projects such large sectors as the wine industry, tourism, light industry and information technology. We found suitable persons and suitable projects and managed to support systemic projects and, for each invested dollar, we want to see value added for the beneficiaries,” stated Scott Hocklander.
According to him, a large part of the country’s Gross Domestic Product is obtained from wine exports. Starting with 2013, when the wine producers lost the largest export market by then, that of Russia, USAID reoriented these to Europe. “A door to new export opportunities was opened up and the key to success was the close cooperation between local wine producers and the National Office of Vine and Wine. Solutions were thus identified for the large wine producers of Moldova,” said the USAID Mission Director.
Tourism is an industry that forms 4% of the GDP and this is on the ascendant. “The people want to come to the Republic of Moldova, to know the Moldovan cuisine, wine, traditions. The hotel system for foreign tourists was a problem in this regard. This way, with the assistance of USAID, there were created pensions, guest houses and this solution made this sector to grow since 2010,” said Scott Hocklander.
The light industry accounts for 50% of the exports. That’s why Moldova now wants high value added and a finished product of a high quality in this sector. The designing of clothing and footwear brands that can become famous abroad is the end result targeted by USAID in this area.
The ICT sector accounts for 10.5% of the exports and offers 14,000 jobs. The people come enthusiastic to this sector where there is the highest salary growth rate. Since this sector started to be supported by USAID, exports have grown a lot. There were implemented digital parks, laboratories that stimulate the creativity of engineers, programmers who can combine practical activity and training. The shortage of professionals is the biggest challenge in the IT industry and USAID thus plans to create centers of excellence to enable the young people to improve their skills.
Currently, USAID is working out a new assistance conception for the Republic of Moldova. “We inform ourselves well before making sure that we took the correct decision. We were of assistance, but the country should strengthen its capacities by itself. The Republic of Moldova’s course is unique and we make sure that we monitor all the available resources and believe that the country is powerful enough to make some choices itself,” noted Scott Hocklander
At the end of 2019, USAID Moldova contracted an American research and analysis center to carry out a sector assessment of the industries that benefit from USAID assistance.
