Moldova has made considerable progress in reforming its business environment during the past several years, as indicated by its ranking as the world’s second-leading reformer in the World Bank’s 2012 Doing Business report. But to complete the country’s economic transition, BRITE’s approach prioritized reforms identified by the private sector as impediments to doing business in Moldova. In this way, the project addressed demand for reforms, while building the government’s capacity to supply it.
The program’s focus areas included:
- Improving tax administration to reduce the administrative burden of paying taxes, in terms of time and costs to file, while increasing revenue collection
- Streamlining key business processes to reduce the administrative burden of compliance with government regulations and to increase transparency
- Reducing the time and cost of moving goods across borders
- Identifying and supporting implementation of high-impact regulatory reforms to improve the business environment
BRITE’s first major initiative was an assessment of Moldova’s business enabling environment using a proven methodology called the Business Climate, Institutional, and Legal Reform (BizCLIR) assessment tool. Similar to but more thorough than the World Bank’s Doing Business methodology, the BizCLIR tool allowed BRITE to undertake a deep analysis of the business environment to identify high-impact reforms with wide support and a high probability of success.
Based on results of the assessment, the project engaged, enabled, and empowered the government, private sector, and civil society to design and implement a program of reforms to reduce the costs and risks of doing business in Moldova. The assessment’s focus areas included trading across borders, protecting investors, starting a business, paying taxes, and dealing with construction permits.
In addition, the project implemented a comprehensive strategic communications program to raise stakeholders and public awareness of the need for and progress toward reforms. BRITE produced the video "You Decide When Reform Begins"
which depicts the moral dilemmas faced by Moldovan entrepreneurs when obtaining government customs authorizations, and encourages Moldovan citizens to support efforts to streamline trade processes and minimize opportunities for corruption. It has been viewed more than 125,000 times to date.
- Advocated for legislation and government decisions that resulted in $246 million in savings to the Moldovan public
- Eliminated, streamlined, or simplified 36 regulations and administrative procedures
- Supported improvement in Moldova’s performance in the World Bank’s “Doing Business” report from 81st place in 2012 to 52nd place in 2016
- Led customs reforms that resulted in a 25 percent reduction in the number of days required for imports and exports
Project Duration: 2012 - 2016