The Premises of the National Economy’s Development in the Context of Integration into the European Economic Area

Abstract

In 2016, there where 194 recognized independent states in the world, members of the United Nations Organization. There are very rich states among these countries, but most of them are comparatively poor and need the help and support of the rich ones. The size of these countries according to geographical area, the population, the size of GDP varies from country to country. Since the economic growth is one of the main indicator of countries’ welfare, it has become a challenging issue for the researchers worldwide. What factors influence the development of a national economy in the right way, making the living standards increase and the population wellbeing grow? This article has a goal to identify several competitive sectors of the economy that have potential to lead to sustainable economic growth for Republic of Moldova. The Republic of Moldova is relatively a young independent state, since the dissolution of USSR, and faces some problems that need to be solved in order to increase country’s welfare. The results of analysis showed that following industrial sectors: wine; textiles and apparel; information and communication technology; footwear; construction materials and furniture have the most potential for contributing to transformational growth in the Republic of Moldova economy. A big step in achieving this is signing the DCFTA with European Union. The importance of EU trade relations with the Republic of Moldova is of great impact on its national economy. The Republic of Moldova needs all the support and help of its powerful neighbour in order to achieve higher economic growth and to increase the competitivity of its products on EU market.