The Impact of Foreign Direct Investment on the Economy of Republic of Moldova

Abstract

This study examines the implications of the FDI on economy of the Republic of Moldova. Using a data approach, the results show that global financial and economic crisis of 2008-2009 has strongly influenced the dynamics of FDI. Our results also demonstrate that Moldova needs to take cardinal measures to overcome the crisis phenomenon and to direct its economy on ascending development trajectory.

Keywords

• Republic of Moldova
• capital flow
• foreign direct investment
• strategy of investment attraction
• balance of payments