MODEST ECONOMIC ACTIVITY IN MOLODOVA IS SUPPORTED BY RICH HARVEST IN 2023 - NBM GOVERNOR ANCA DRAGU

The modest dynamics of economic activity in Moldova was largely supported by the rich harvest of agrarians in 2023, which created good conditions for export growth, National Bank of Moldova (NBM) Governor Anca Dragu said. She presented to reporters at the Economic Press Club on Tuesday evening the second inflation forecast for 2024 and 2025, which will amount to 5% and 4.6%, respectively.

According to Dragu, GDP registered a marginal annualized growth in the fourth quarter of 2023, which was only 0.2% above the level of the same period of the previous year.

"Developments in communications and services, as well as in catering are noteworthy. However, domestic demand is still weak, as evidenced by the insignificant growth in consumption and investment of the population amid mediocre growth in real incomes and increased uncertainty in the region," the banker said.

The NBM Governor described economic activity in industry, construction, trade and transportation as less optimistic signals.

"At the same time, the seasonally adjusted series reflects zero GDP dynamics compared to the third quarter of 2023," the banker concluded.