IMF cuts Moldova’s 2024 GDP growth projection to 2.6%

Moldova's gross domestic product (GDP) is expected to grow by 4.8% next year, the IMF said in the April 2024 edition of its World Economic Outlook report published on Tuesday.

The country’s economy grew by 0.7% on the year in real terms in 2023, provisional data from Moldova’s statistical office showed in March. This compares to IMF's current estimate of 1% GDP growth in 2023 and its October forecast of 2% growth.

Consumer prices in Moldova are expected to rise by 5% this year, slowing down from a 13.4% increase in 2023. In 2025, the average consumer price inflation is expected to remain unchanged at 5%.

Moldova’s current account deficit is forecast to edge down to 11.5% of GDP in 2024 from 12.8% in 2023, but shows a more pessimistic outlook than IMF’s October projection for a deficit of 10.9%. In 2025, the current account gap is expected to narrow further to 8.3% of GDP.

The IMF’s forecasts for Moldova's economic growth this year and next are slightly more optimistic than the latest World Bank projections of 2.2% and 3.9% growth in 2024 and 2025, respectively.