Investments and competitiveness of moldovan economy: the formula of success

Abstract

This study explains qualitative economic growth, or inclusive growth, from the perspective of investments. Investments are crucial for a developing economy like the Republic of Moldova, which is the case study in this overview. Moldova cannot compete on key industrial parameters available for the developed economies of today. However, the country can strengthen the core of its economy and society in order to reorient towards qualitative economic growth. This basis is formed through investments into education, infrastructure and innovations and entrepreneurship. In this way, the country should be successful by using own competitive advantages and becoming a hub for innovations. Among other considerations, the paper concludes on the possibility of many developing nations to ‘leapfrog’ through several stages of the structural ladder, enabling them to pursue qualitative economic growth. This article is interesting for private and public organization, as well as international and non-profit actors. It provides both an evaluation of Moldova's position on the international socio-economic arena, and makes recommendations potentially supporting the growth of the private sector, at the same time fighting poverty and enforcing sustainable economic growth. JEL CLASSIFICATION: 011, 012, 038