Moldovan government reduces burden of controls, restrictive measures on business

Chisinau, Nov 21 /MOLDPRES/- Government is reducing the burden of controls and restrictive measures on business environment. This will be achieved by amending several legislative acts, which will contribute to the development of an attractive business environment that encourages investments and catalyzes entrepreneurial initiative. The government approved the decision on Wednesday.

The main provisions of the draft relate to the amendment of the norms of the law on state control and sectoral laws on state control, such as those in the market supervision and consumer protection, technical supervision, construction, fire prevention, labor relations control, environmental protection, public health supervision, medicines and medical devices, food safety, road transportation, and other areas relevant to entrepreneurial activity.

The amendments were developed with the support of the Economic Council under the Prime Minister and Moldova Institutional and Structural Reforms Activity.

According to official data, there are 63.3 thousand active enterprises in the Republic of Moldova, of which more than 99.2% fall into the category of micro, small and medium-sized enterprises (SMEs), which reported a sales figure of about 286 billion lei in 2023. The authors of the initiatives argue that in order to stimulate sustainable economic development, it is necessary to exclude excessive burden and reduce unjustified expenses incurred by the business environment, including those caused by abusive controls and restrictive measures.

Statistics show that if in the Republic of Moldova the survival rate of the enterprise in the first year was about 46% in 2019-2020, and about 54% of the initiated businesses do not survive more than 1 year, then in the European Union the average survival rate was about 80%.