The IT sector’s recognized potential to drive economic growth has led the Government in Chișinău to make it a priority, focusing on attracting foreign investment by fostering a competitive and stable business climate. A cornerstone of this effort is the establishment of the Moldova Innovation Technology Park (MITP) in 2016 and the government’s commitment to a reduced, single tax rate of 7% on turnover, which will remain in effect until 2035. This initiative positions Moldova as a highly appealing destination for IT businesses and investors.
Increased Investment Due to Regional Dynamics
"Romania and Ukraine are leading the rankings by number of newly funded companies in MITP, influenced by the regional crisis and changes in fiscal policies. Romania is in first place, with significant growth starting in 2023 after IT tax benefits were canceled there, prompting many companies to shift to Moldova. Companies from Ukraine saw a sharp increase in Moldova starting in 2022, following the outbreak of the war. Moldova has become a safe and stable place for both local and international businesses. This attraction is further reinforced by the extension of the state guarantee term until 2037 and the operation of the IT Park until 2035, providing long-term security for companies",
says the MITP Administrator, Marina Bzovîi.
Our companies in the IT sector do not stay in Moldova but expand regionally and globally. Our population has digital skills. We have professionals and experts, and we can provide services worldwide. We aim to build strong country brand and promote it internationally."
MITP's Economic Contribution and Long-term Security
To provide long-term clarity for residents and potential investors, at the end of 2023, the Government of Moldova extended MITP’s operational term until 2037. This extension preserves the 7% single tax and broadens the list of eligible activities within the e-park, including business services like call centers and other labor supply functions.
To further enhance its appeal to international investors and IT professionals, the Moldovan Government has implemented significant labor market liberalization measures. These include a simplified procedure for obtaining residence and work permits for foreign specialists, as well as a special visa regime specifically designed for the IT sector. Importantly, Moldova allows for remote work without the requirement of physical presence in the country, enabling companies and professionals to operate within the MITP framework from anywhere in the world. These initiatives reduce administrative barriers and offer greater flexibility, making it easier for businesses to recruit global talent and for foreign professionals to contribute to Moldova's growing tech industry. Notably, MITP is not a physical economic or commercial space but a fully virtual community. To join, a prospective resident needs to visit Moldova only once to obtain an electronic signature, register a company with the Public Services Agency, and submit an application for MITP residency.
Strengthening MITP Governance and Decision-making Transparency
As a candidate for EU membership, Moldova is actively aligning its regulations and standards with the European Union, supported by the Deep and Comprehensive Free Trade Agreement (DCFTA) signed in 2014. The government aims to become a fully digital state by 2030, consolidating all public services onto a single platform known as the EVO App, thereby streamlining interactions for citizens and businesses alike.
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