A mission of the European Department of the International Monetary Fund (IMF)
headed by Mr. Graeme Justice visited Chişinău during September 11-18, 2008.
mission noted the progress on curbing inflation. Single-digit inflation now
appears reachable, but will require sustained fiscal efforts. Growth
performance has been good despite the lingering effects of last year’s
drought, and economic growth might be somewhat higher than earlier
envisaged. The outlook for 2009 remains positive, despite the regional
slowdown and worsening current account deficit.
mission discussed the draft State Budget for 2009 and urged the authorities
to support the efforts of the National Bank to stem the appreciation of the
Leu by maintaining a prudent fiscal stance. The discussion focused on the
importance of the structural reforms to improve the efficiency of the public
administration to contain current spending and ensure sufficient resources
for investment. In particular, the mission stressed the need to promote
modern government by accelerating reforms in social assistance, education,
public administration, and health.
Review mission for the PRGF
tentatively scheduled for late November/early December.