The financial impact of the departure of Fujikura and Coroplast from the Republic of Moldova is not great as the two investors were not among the major taxpayers to the state budget. Minister of Finance Petru Rotaru said that the state budget did not suffer significantly due to the departure of the two investors. Moreover, Petru Rotaru said that the people who worked for the two companies were quickly employed by other companies in the area, which are facing an acute labor shortage, IPN reports.
The official assured that the departure of Fujikura and Coroplast did not affect the state budget. The two companies benefited from the privileges of the Free Economic Zone and did not contribute significantly to the state budget through taxes and duties.
“The people from these companies, who were well trained, got hired at other companies in the area because we also experience a shortage of labor. The well-trained workforce was very easily absorbed by other companies. In addition, in the Free Economic Zone we have an exemption from income tax or a reduced income tax rate and if these people are re-employ, the impact of the departure of these companies is diminished as much as possible. The impact is not essential for the budget. They were not among the big payers of taxes and duties. They were not among the big taxpayers, but we are certainly sorry for every investor that leaves. These companies operated in Free Economic Zones and enjoyed a preferential regime. The reorientation of the business by the parent company to other markets, especially China, is the reason for the departure,” Petru Rotaru stated in the talk show “Resumé” on RliveTV.
The minister noted that although the two companies withdrew, the Republic of Moldova has become an attractive investment space for other foreign investors. The country is no longer viewed with reservations by large foreign companies.
“Just today I had a discussion with the representative of the Investment Agency who said that last week alone, two large investors came to the Republic of Moldova and are going to invest here. Both the Government and the Investment Agency are keeping their finger on the pulse to create preconditions to stimulate investments. In 2022, when the war began, we were in a gray area, but now that period is over. Now we see slight unfreezing. We are also talking about investment loans on the domestic market, consumer loans, investors,” said Petru Rotaru.
Recently, the Japanese company Fujikura and the German company Coroplast based in Causeni ceased their operations in the Republic of Moldova. Both of the companies were active in the field of car wiring harness production. According to the authorities, the two investors stopped work due to the lack of orders from particular car manufacturing groups.
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