Moldova: Salaries double in 30 years, but incomes rise only 1.4 times
Salaries in Moldova have doubled since independence, but incomes have only increased 1.4 times, according to experts. The average pension is set to exceed the 1991 level for the first time this year.
In 1991, the population of Moldova earned 10.4 billion rubles, or the equivalent of 158 billion lei, according to Veaceslav Ioniță, an expert in economic policy. However, in 2023, Moldovan incomes are estimated to be 215 billion lei.
Ioniță says that the reason for the discrepancy between salaries and incomes is that there are fewer people employed today than there were in 1991. In addition, remittances and other sources of income have become more important in recent years.
“The fact is that if the salary in 2023 reaches the level of 2021, even if inflation is low, incomes will be 7% lower than in 2021. The money now is worth less than in 2021 by about 7%,” Ioniță explained.
Ioniță also noted that Moldova's gross domestic product (GDP) is expected to be 310 billion lei this year. In 1991, it was 25 billion rubles, or the equivalent of 323 billion lei. Ioniță says that GDP is likely to reach the level of independence only next year.
In order to close the gap between salaries and incomes, the government should focus on creating more jobs and stimulating economic growth. It should also provide support to businesses, especially small and medium-sized enterprises, which are the backbone of the Moldovan economy.
