Moldova eyes Chinese investment, wary of Montenegro route

Published Oct 29, 2021

Tridge summary

The Moldovan Embassy in Beijing has proposed 20 projects to Chinese investors across sectors such as medicine, pharmaceuticals, IT, transport, viticulture, and agriculture, valued at $1 billion. The country's favorable tax system and free economic zones have piqued Chinese interest, despite concerns about corruption. Investments could include agricultural resources and the development of competitive businesses. However, there are worries about potential debt burden from Chinese loans, as seen in Montenegro. The European Union has expressed concerns about the socio-economic and financial impacts of some Chinese investments.

Disclaimer: The above summary was generated by Tridge's proprietary AI model for informational purposes.

Original content

The Moldovan Embassy in Beijing recently laid out 20 projects in the post-Soviet republic for potential Chinese investment. With a total value of $ 1 billion (€ 880 million), Moldova's ambassador to Beijing, Dumitru Braghis, told Chinese officials that the key sectors up for grabs were medicine, pharmaceuticals, IT, transport, viticulture and agriculture. Braghis enthused that his country is a place with a favorable tax system and free economic zones, industrial zones and IT parks. Observers suggest it is the relative paucity of a viable regulatory regime and widespread corruption that is more attractive to Chinese companies and authorities who want to establish new footholds near European Union markets and diversify away from dependence on Africa for raw materials and cheap labor. Moldova President Maia Sandu - a Harvard-educated former World Bank economist - beat Russia-backed incumbent Igor Dodon in an election last November running on a ticket of closer relations with the EU. ...

Source: Dw