Moldova and Romania face shifting economic strategies

Economic experts and business trends indicate a shift in regional strategy for Moldova and Romania. In Moldova, Cornel Coșer, vice-president of the Association of Business Service Leaders (ABSL Moldova), suggests the country must move away from competing solely on low labor costs. He argues that Moldova cannot compete with larger markets like Romania, Bulgaria, or Serbia for massive outsourcing projects due to its limited labor force of approximately 926,900 economically active people.

Instead, Coșer recommends focusing on high-value-added services such as software development, cybersecurity, artificial intelligence, and data analysis. The goal is to prioritize the value per employee rather than just the cost per employee, targeting small to medium-sized projects that leverage technical expertise and linguistic skills.

Meanwhile, Romanian companies are increasingly expanding into neighboring markets like Bulgaria, Hungary, and Moldova to mitigate domestic economic risks. High inflation and decreased purchasing power in Romania have pushed technology startups and niche manufacturers to seek diversification. By operating across borders, these firms can hedge against currency and economic volatility while utilizing the European Union's single market to scale business models more efficiently.