October 9 (SeeNews) - The International Monetary Fund (IMF) has raised Moldova's 2018 economic growth forecast to 3.8% from 3.5% predicted in April, according to the October edition of the global lender's World Economic Outlook (WEO) report released on Tuesday.
Moldova's 2019 economic growth is forecast at 3.8%, the IMF said.
In 2017, Moldova's economy grew by an estimated 4.5%, according to the report.
Moldova's economy expanded by 5.2% year-on-year in real terms in the second quarter of 2018, mainly on the back of the successful performance of the wholesale and retail sector, the country's statistical office, BNS, said earlier.
Moldova's inflation is seen accelerating to 4.9% in 2019 from 3.6% projected in 2018, the IMF said.
Moldova's annual consumer price inflation accelerated to 3.2% in August, from 3.0% in the previous month, according to BNS.
Moldova's central bank, BNM, projects 3.2% inflation in 2018 and 4.9% in 2019.
The IMF expects Moldova's current account deficit to increase to 7.4% of GDP in 2018 from an estimated 6.3% of GDP in 2017.
Moldova's unemployment is seen flat at 4.1% in 2018 compared to 2017 and at 4% in 2019, the IMF said.
Moldova has built its 2018 budget bill on a projection of 3.0% economic growth and a budget deficit equivalent to 2.8% of GDP.
In July, the IMF decided to lend Moldova a further $33.8 million (29 million euro) under the current three-year funding arrangement.
So far, the latest allocation included, Moldova has received a total of $113.3 million in four tranches under the current three-year credit facility of $178.7 million approved in November 2016.
($=0.871 euro)