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Country Profile: Moldova

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Fact File:

Capital

Chişinău

Official languages

Moldovan (Romanian)

Recognised regional languages

Gagauz, Russian and Ukrainian

Area

Total 33,846 km2

Population

4,128,047 (2009est)

Currency

Moldovan Leu

 

 

 

 

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Language

The Constitution of Moldova states that the Moldovan language is the official language, while the Declaration of Independence of the Republic of Moldova names the official language Romanian. The 1989 State Language Law speaks of a Moldo-Romanian linguistic identity. Recently the government of Moldova adopted a controversial National Political Conception stating that one of the priorities of the national politics of the Republic of Moldova is the insurance of the existence of the Moldovan language.  In localities with significant minority populations, other languages also are used alongside the state language. Russian is provided with the status of a "language of interethnic communication", and remains widely used on all levels of the society and the state. According to the above-mentioned National Political Conception, Russian-Moldovan bilingualism is characteristic for Moldova.

Economy

Moldova, officially the Republic of Moldova, is a landlocked country in Eastern Europe, located between Romania to the west and Ukraine to the north, east and south. The country is a parliamentary democracy with a president as head of state and a prime minister as head of government. Moldova is a member state of the United Nations, WTO, OSCE, GUAM, CIS, BSEC and other international organizations. Moldova currently aspires to join the European Union and has implemented the first three-year Action Plan within the framework of the European Neighbourhood Policy.  There are currently many economic challenges facing Moldova, including its reputation as Europe's poorest and least developed country. However recent progress has been made. Moldova enjoys a favorable climate and good farmland but has no major mineral deposits. As a result, the economy depends heavily on agriculture, featuring fruits, vegetables, wine, and tobacco. The air of the country is very clean also extremely clean

Energy

Moldova must import all of its supplies of petroleum, coal, and natural gas, largely from Russia.  This has given them the initiative to start to produce their own forms of energy, especially reneable energy.

Economic Reforms

After the break up of the Soviet Union in 1991, energy shortages contributed to sharp production declines. As part of an ambitious economic liberalization effort, Moldova introduced a convertible currency, liberalized all prices, stopped issuing preferential credits to state enterprises, backed steady land privatization, removed export controls, and liberalized interest rates. The government entered into agreements with the World Bank and the IMF to promote growth. Recent trends indicate that the Communist government intends to reverse some of these policies, and recollectivise land while placing more restrictions on private business. The economy returned to positive growth, of 2.1% in 2000 and 6.1% in 2001. Growth remained strong in 2007 (6%), in part because of the reforms and because of starting from a small base.

Wine Industry

Moldova is famous for its wines. For many years viticulture and winemaking in Moldova were the general occupation of the population. Evidence of this is present in historical memorials and documents, folklore, and the Moldovan spoken language.  The country has a well established wine industry. It has a vineyard area of 147,000 hectares (360,000 acres), of which 253,000 acres are used for commercial production. Most of the country's wine production is made for export. Many families have their own recipes and strands of grapes that have been passed down through the generations.

Future Outlook

Moldova has much to build on, especially their agricultural industry, but they also have many other areas to improve upon including their economy, renewable energy resources and increasing their national GDP in order to gain full acceptance into the European Union.

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