Remittances in the Republic of Moldova:Lost opportunities

Abstract

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The article covers the problem of the relationship between remittances and economic growth as well as the use of remittances for productive investment in order to contribute to long-run development. Also, there are given some stylized facts of remittances in the Republic of Moldova and their impact over the national economy. Because of its business and investment climate, because of its financial system and macroeconomic policies that were conducted, Moldova has lost almost all opportunities to benefit from remittances.

Keywords

• remittances
• economic growth
• investment
• human capital
• inflation
• consumption
• savings.