War in Ukraine slows down construction in Moldova
The volume of construction works in Moldova decreased by 8% in the first half of 2023, compared to the same period last year, according to the National Bureau of Statistics.
The decrease was caused by the decline in new construction works, maintenance works, and current repairs. Experts say the war in Ukraine is to blame, as it has limited the import of construction materials and made it more difficult to obtain construction permits.
Capital repair works increased by 26% in the first half of 2023, but this was not enough to offset the decline in other types of construction work.
Pavel Caba, president of the Employers' Federation of Builders, Road Builders and Manufacturers of Construction Materials, said that many investors have had to halt their projects due to the unpredictable situation in the region.
"The war at the borders of the Republic of Moldova has had a negative impact on the import of materials that we do not produce, especially timber," Caba said. "The execution of design work was also delayed, as was the execution of construction work, because the approvals took longer than they should have."
The National Bureau of Statistics reports that 1,600 construction permits for residential and non-residential buildings were issued in the first half of 2023, down 0.7% compared to the same period last year.
