The Republic of Moldova takes an important step toward aligning with European Union standards by modernizing the legislative framework dedicated to the business environment. The Commission on Economy, Budget, and Finance approved the report on a new draft law developed by the Ministry of Economic Development and Digitalization, with the document set to be reviewed in Parliament in its first reading.
The initiative aims to create a stable and competitive investment climate that ensures fair market access for all economic actors. Among the key novelties is the elimination of the term “foreign investor”, with the new definition of investment applying equally to both domestic and international investors, alongside the introduction of the terms “strategic investment” and “resident/non-resident”. Funding will be directed with priority toward high-growth sectors, particularly energy, technology, healthcare, and infrastructure. A differentiated incentive scheme is established for major projects, and procedures will be simplified by setting up a single point of contact within the Investment Agency. At the same time, the draft law allows investment agreements to be concluded with the Government without competition-distorting clauses, strengthens legal protection by regulating disputes and liability in ISDS international arbitrations in cooperation with the European Commission, and mandates digitization and transparent publication of notices in languages of international circulation.
Frequently Asked Questions
What is the main change regarding foreign investors under the new law?
The draft law removes the distinct term “foreign investor”, applying the definition of investment equally to both domestic and international investors to ensure fair market access.
Which sectors are prioritized for investment under this framework?
Funding and incentives will be prioritized for high-growth sectors, particularly energy, technology, healthcare, and infrastructure.
How will administrative procedures be streamlined for investors?
Processes will be simplified through the creation of a single point of contact within the Investment Agency and the mandatory digitization of public notices.