The Republic of Moldova – an Attractive Market for Regional and Global IT Companies

The Republic of Moldova – an attractive market for regional and global IT companies
Posted on 2018-04-27 in ECONOMIC, INFO ALERT

This article is a translation into English of an article published in Romanian by the news platform moldova9.com (reproduced with permission)

Source: here

 

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The IT market in the Republic of Moldova has favorable conditions for attracting foreign investors, and is taking important steps to join the first league of countries for regional attractiveness. Among the competitive advantages of our country are the elimination of administrative barriers for IT qualified foreign professionals, tax incentives for IT sector employees, 7% of the sales volume, but also the creation and launching of physical infrastructure of IT parks.

 

The competitive advantages of our country were presented to foreign IT professionals during the “PIN Awards 2018” event, held on 25 April in Iasi, Romania, attended by our country’s delegation consisting of the representatives of the Competitiveness Project Moldova, the National Association of ICT Companies (ATIC), the Moldovan Export and Investment Promotion Organization (MIEPO), the International Cooperation Agency of Germany (GIZ) and the Technical University of Moldova (TUM).

Vitalie Tarlev, State Secretary for Information and Communication Technology

The IT sector is a priority for Moldova, and the advantages it can have a positive impact on the country’s economic development. The Government of Moldova has taken important steps to create favorable premises so that both IT companies in Moldova can develop and global companies to be willing to invest in the country.

Sergiu Botezatu, Senior Project Manager, USAID Moldova

The IT sector in the Republic of Moldova has a rapid pace of development, but also the ability to positively influence and catalyze other industries such as engineering and creative industries, the tourism industry, light industries… Therefore, USAID Moldova, together with the Swedish government, supports through the Competitiveness Project the development of the entrepreneurial ecosystem in the IT sector.

 

Besides the advantages of our country’s entrepreneurial ecosystem and the law on IT parks, the presentation panel of Moldova included the speeches of private investors that support the development of IT companies. The quality of human capital in the IT field was also presented at the regional forum in Iasi.

Viorel Bostan, Rector of the Technical University of Moldova

UTM provides a modern education linked to market requirements. This demonstrates recent investments of 1 million lei in CIRCLE performance laboratories and $ 400,000 in FabLab Chisinau – platforms where young engineers and IT specialists can innovate and apply their theoretical knowledge in prototypes and business ideas.

About the ICT sector in the Republic of Moldova

With a contribution of around 7% to the country’s Gross Domestic Product and a turnover of $ 152 million, over 500 registered IT companies have over 12500 IT professionals. They export their IT products and services to over 30 countries around the world.

To increase the competitiveness of the IT sector, the Moldova-financed Competitiveness Project of Moldova, supported by USAID and the Government of Sweden, supported the Government of Moldova in developing the IT Sector Strategy and Marketing Strategy and Positioning on Target Markets. Also, in order to promote foreign investments in the sector, the regime for obtaining work permits and visas for foreign citizens wishing to undertake IT activity in the Republic of Moldova was facilitated. With the support of the Competitiveness Project, the first specialized park “MOLDOVA IT PARK” was launched at the beginning of this year, offering IT startups a virtual operating regime. According to normative acts, residents of IT parks will benefit from tax benefits consisting of applying a single 7% tax on sales volume, including company and employee fees and contributions. The activity of IT Park residents is the creation and editing of software, computer games, computing, servers and IT solutions, data processing, web site management and IT activity, IT consultancy.

At the national level, more than 20 educational units offer courses related to IT and STEM (Science, Technology, Engineering, Mathematics). In order to encourage young people to attend STEM courses, three regional FabLabs in Ungheni, Drochia and Cahul were launched with the support of the Competitiveness Project in Moldova, equipped with the necessary equipments for the students and teachers who teach the exact sciences or young people with business ideas based on digital technologies. They will be able to experiment and produce small-scale labels, accessories, books

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