Moldova : World Bank Country-Level Engagement on Governance and Anticorruption
Moldova has suffered over the last two decades from rising poverty, territorial secession, armed conflict, and the spillover effects of a regional financial crisis, with declining population size and life expectancy, and an economy approximately on...
| Main Authors: | , |
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| Language: | English en_US |
| Published: |
World Bank, Washington, DC
2017
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| Online Access: | http://documents.worldbank.org/curated/en/833061468060923759/Moldova-World-Bank-country-level-engagement-on-governance-and-anticorruption http://hdl.handle.net/10986/26682 |
| Summary: | Moldova has suffered over the last two
decades from rising poverty, territorial secession, armed
conflict, and the spillover effects of a regional financial
crisis, with declining population size and life expectancy,
and an economy approximately one-half of what it was in
1990. The return of the Moldovan Communist Party (PCRM),
which won two major elections after 2001, contributed to
increasing centralization of governmental authority along
with a reform agenda that emphasized greater state control
over the economy, fiscal support to state enterprises and
collective farms, land consolidation, economic
protectionism, and the tolerance of monopolies in industry
and energy. At the same time, the government has increased
social expenditures, and taken major steps to improve public
financial management. Bank engagement was moderately
effective at the country and project levels, and
substantially effective at the sector level. There was
progress in several aspects of public financial management
(PFM). Regulatory streamlining has reduced costs to
business, although resistance to civil service reform has
left much work to be done. The Bank has also helped achieve
progress on Governance and Anticorruption (GAC) issues in
primary education, roads, and private sector development.
Education progress is highly uneven across regions, for
example, overweight trucks continue to tear up roads, and
private investment is not enough to make a dent in high
unemployment. A graduated approach to country systems and
road sector technical audits help address GAC issues at the
project level. The overall impact of GAC strategy
implementation was moderate. The GAC committees set up at
the regional and sectoral Bank department levels are
particularly useful mechanisms for disseminating practices
from the GAC Council. Staff has been proactive in using
Country Governance and Anticorruption (CGAC) resources.
However, three applications for window one funding were not
approved, reducing the ability of this small program to
seize opportunities. |
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