Official Site - The Legatum Prosperity Index is the world's only global assessment of wealth and wellbeing; unlike other studies that rank countries by actual levels of wealth, life satisfaction or development, the Prosperity Index produces rankings based upon the very foundations of prosperity – those factors that help drive economic growth and produce happy citizens over the long term.
The 2009 Legatum Prosperity Index
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78

Moldova  


Fast Facts

Population 4.3 mn (2009 est.) GDP (per capita) $2,500 (2008 est.) Inflation 12.4% (2007)
Life Expectancy 60 years (2003) GDP (PPP) $10.7 bn (2008 est.) Unemployment
Average Life Satisfaction 6/10 (2008) GDP (growth) 7.2% (2008 est.) Freedom House Rating Partly Free (2009)
Political System Republic (2009)

Sub-Index Rankings

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Index Comparisons
(Rank / Number of countries)

Legatum Prosperity Index78th / 104
Average Life Satisfaction Ranking51st / 104
Per Capita GDP Ranking87th / 104
WEF Global Competitiveness Indexn/a
UN Human Development Index113rd / 179
Heritage/WSJ Economic Freedom Index120th / 178
TI Corruption Perceptions Index109th / 180
Vision of Humanity Global Peace Index75th / 144

 

Regional Ranking:
Europe

1 Finland
2 Switzerland
3 Sweden
4 Denmark
5 Norway
8 Netherlands
11 Ireland
12 United Kingdom
13 Belgium
14 Germany
15 Austria
17 France
19 Spain
20 Slovenia
21 Italy
22 Portugal
25 Czech Republic
27= Hungary
29 Poland
30 Greece
31 Estonia
34 Slovakia
35 Croatia
37 Latvia
46 Bulgaria
48 Romania
59 Macedonia
61= Ukraine
69= Russia
69= Turkey
78 Moldova
85 Belarus

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Economic Fundamentals - Ranked 82nd

With high inflation rates and a poor domestic savings rate, the Moldovan economy is far from healthy

Inflation rates are very high in Moldova – at over 12%, for which the country ranks 97th worldwide on this variable. Household expenditure is very low at just 22% of GDP, placing Moldova in the bottom 10 worldwide. Moldovan citizens save less than they spend, dissaving at a rate of 14% and ranking second last in this variable. Moldovan workers, on average, have access to below average levels of physical capital. Nearly 4% of all loans in Moldova are in default, a high proportion worldwide, and the banking sector is relatively inefficient with an interest margin of over six percentage points. While the country’s exports as a capacity to import are low, one-third of the country’s exports are raw materials, showing a high level of dependence. There is, however, a lot of foreign direct investment in Moldova, ranking the country just outside the top 10 worldwide.

Economic Fundamentals - Ranked 82nd

With high inflation rates and a poor domestic savings rate, the Moldovan economy is far from healthy

Inflation rates are very high in Moldova – at over 12%, for which the country ranks 97th worldwide on this variable. Household expenditure is very low at just 22% of GDP, placing Moldova in the bottom 10 worldwide. Moldovan citizens save less than they spend, dissaving at a rate of 14% and ranking second last in this variable. Moldovan workers, on average, have access to below average levels of physical capital. Nearly 4% of all loans in Moldova are in default, a high proportion worldwide, and the banking sector is relatively inefficient with an interest margin of over six percentage points. While the country’s exports as a capacity to import are low, one-third of the country’s exports are raw materials, showing a high level of dependence. There is, however, a lot of foreign direct investment in Moldova, ranking the country just outside the top 10 worldwide.

Entrepreneurship and Innovation - Ranked 52nd

Poor communications infrastructure is offset by high investment in R&D, leaving Moldova to perform near global averages

There are moderate barriers to entry for new Moldovan businesses, with 10 formal start up procedures required, ranking the country around the global median. The number of new businesses registered in Moldova in 2007 was also around the global average. In terms of value added by the service industry, Moldova compares favourably worldwide, with the country ranking in the top 30 on this variable. In terms of internet infrastructure as measured by bandwidth, Moldova ranks in the bottom third worldwide. The country also has few internet servers, with less than five per million people, and very few personal computers, with just over one for every 10 people in the country. Nevertheless, Moldova performs around the global median in terms of both ICT and high-tech exports as a proportion of total exports and manufactured exports, respectively. Moldovan R&D spending ranks in the top 40 worldwide at 0.8% of GDP, and Moldova enjoys an average number of royalty receipts.

Entrepreneurship and Innovation - Ranked 52nd

Poor communications infrastructure is offset by high investment in R&D, leaving Moldova to perform near global averages

There are moderate barriers to entry for new Moldovan businesses, with 10 formal start up procedures required, ranking the country around the global median. The number of new businesses registered in Moldova in 2007 was also around the global average. In terms of value added by the service industry, Moldova compares favourably worldwide, with the country ranking in the top 30 on this variable. In terms of internet infrastructure as measured by bandwidth, Moldova ranks in the bottom third worldwide. The country also has few internet servers, with less than five per million people, and very few personal computers, with just over one for every 10 people in the country. Nevertheless, Moldova performs around the global median in terms of both ICT and high-tech exports as a proportion of total exports and manufactured exports, respectively. Moldovan R&D spending ranks in the top 40 worldwide at 0.8% of GDP, and Moldova enjoys an average number of royalty receipts.

Democratic Institutions - Ranked 57th

Political and civil liberties are average but Moldovan elections are free and fair

Moldovans have average levels of political rights and civil liberties, ranking the country just inside the bottom half of the Index on both variables. Moldova is a democracy, with some constraints on the executive power that limit arbitrary law making by individuals in power. There is free and fair competition for executive seats and elections are highly regulated to ensure a level playing field. In the legislative branch of government, there are also free and fair elections, and the judiciary is entirely independent of the other branches of government. However, the relative instability of Moldova’s political system ranks the country in the bottom half of the Index, with a change in the regime the last 20 years.

Democratic Institutions - Ranked 57th

Political and civil liberties are average but Moldovan elections are free and fair

Moldovans have average levels of political rights and civil liberties, ranking the country just inside the bottom half of the Index on both variables. Moldova is a democracy, with some constraints on the executive power that limit arbitrary law making by individuals in power. There is free and fair competition for executive seats and elections are highly regulated to ensure a level playing field. In the legislative branch of government, there are also free and fair elections, and the judiciary is entirely independent of the other branches of government. However, the relative instability of Moldova’s political system ranks the country in the bottom half of the Index, with a change in the regime the last 20 years.

Education - Ranked 45th

Levels of training are high in Moldova, but the education system suffers from a lack of funding

Funding levels for education in Moldova are among the lowest in Europe at just over $1,000 per student. Just 88% of primary age children are enrolled in Moldovan primary schools, ranking in the lowest quintile, worldwide on this variable. However, with a 16 to one ratio of teachers to students, Moldova has a high proportion of teachers in primary schools. The secondary school enrolment rate, at 89%, ranks in the top half of the Index, as does the gross tertiary enrolment rate, with 39% of the eligible population enrolled in further education. There are 103 girls for every 100 boys in Moldovan schools, suggesting gender equality. Moldovan workers are well trained, with an average 5.7 years of secondary schooling per worker, ranking in the top 20 worldwide. However, an average of four years per worker at tertiary level drops Moldova down into the bottom half of the Index on this variable.

Education - Ranked 45th

Levels of training are high in Moldova, but the education system suffers from a lack of funding

Funding levels for education in Moldova are among the lowest in Europe at just over $1,000 per student. Just 88% of primary age children are enrolled in Moldovan primary schools, ranking in the lowest quintile, worldwide on this variable. However, with a 16 to one ratio of teachers to students, Moldova has a high proportion of teachers in primary schools. The secondary school enrolment rate, at 89%, ranks in the top half of the Index, as does the gross tertiary enrolment rate, with 39% of the eligible population enrolled in further education. There are 103 girls for every 100 boys in Moldovan schools, suggesting gender equality. Moldovan workers are well trained, with an average 5.7 years of secondary schooling per worker, ranking in the top 20 worldwide. However, an average of four years per worker at tertiary level drops Moldova down into the bottom half of the Index on this variable.

Health - Ranked 79th

Despite good provision of medical facilities, basic healthcare is poor and Moldovans are extremely disatisfied with their general health

In Moldova, there are a high number of health professionals and hospital beds per capita, ranking the country in the top 30 and 20, respectively. However, Moldova does poorly in most other measures of health. Health-adjusted life expectancy is below the international average at 60. Infant mortality is near the global average but 11% of the population is malnourished. Only 79% of the population have access to improved sanitation facilities and just over half are happy with the quality of their water, a very low proportion, internationally.* A low 57% are happy with their general level of health; the second lowest proportion in the Index.* Over one-third have health problems, 41% of those asked were in pain the previous day, and only just over half consider themselves well rested.*

Health - Ranked 79th

Despite good provision of medical facilities, basic healthcare is poor and Moldovans are extremely disatisfied with their general health

In Moldova, there are a high number of health professionals and hospital beds per capita, ranking the country in the top 30 and 20, respectively. However, Moldova does poorly in most other measures of health. Health-adjusted life expectancy is below the international average at 60. Infant mortality is near the global average but 11% of the population is malnourished. Only 79% of the population have access to improved sanitation facilities and just over half are happy with the quality of their water, a very low proportion, internationally.* A low 57% are happy with their general level of health; the second lowest proportion in the Index.* Over one-third have health problems, 41% of those asked were in pain the previous day, and only just over half consider themselves well rested.*

Safety and Security - Ranked 75th

Moldova’s main security issue is with organised groups, but few citizens feel safe walking alone at night

Moldova faces some security challenges related to refugees and groups with a history of discrimination or other grievance, ranking in the bottom third of the index for the latter variable. Human flight is extremely high in Moldova, ranking the country 91st on this variable. Further, only 43% of citizens feel safe walking around their local area, ranking the country in the bottom 15% on personal safety.* While no Moldovan citizens died due to civil wars in 2008, the Moldovan authorities have occasionally employed practices such as torture or political imprisonment. The homicide rate is just above the global average, and in terms of assault and theft, Moldova performs near the global average.*

Safety and Security - Ranked 75th

Moldova’s main security issue is with organised groups, but few citizens feel safe walking alone at night

Moldova faces some security challenges related to refugees and groups with a history of discrimination or other grievance, ranking in the bottom third of the index for the latter variable. Human flight is extremely high in Moldova, ranking the country 91st on this variable. Further, only 43% of citizens feel safe walking around their local area, ranking the country in the bottom 15% on personal safety.* While no Moldovan citizens died due to civil wars in 2008, the Moldovan authorities have occasionally employed practices such as torture or political imprisonment. The homicide rate is just above the global average, and in terms of assault and theft, Moldova performs near the global average.*

Governance - Ranked 89th

Poor regulation and government inefficiency are causes for Moldovans, dissatisfaction with the governance of their country

The rule of law is not enforced consistently in Moldova, the quality of regulation in the commercial and economic sector is below average, and the efficiency of the Moldovan bureaucracy is very poor, ranking the country in the bottom 15 worldwide on all three variables. Less than one-third have confidence in the honesty of the electoral process, while only one-third approve of the judicial system, ranking the country 80th in both variables.* More than nine out of 10 Moldovans believe there is widespread corruption in both local businesses and government, and just over half have confidence in the military, again ranking poorly worldwide.*

Governance - Ranked 89th

Poor regulation and government inefficiency are causes for Moldovans, dissatisfaction with the governance of their country

The rule of law is not enforced consistently in Moldova, the quality of regulation in the commercial and economic sector is below average, and the efficiency of the Moldovan bureaucracy is very poor, ranking the country in the bottom 15 worldwide on all three variables. Less than one-third have confidence in the honesty of the electoral process, while only one-third approve of the judicial system, ranking the country 80th in both variables.* More than nine out of 10 Moldovans believe there is widespread corruption in both local businesses and government, and just over half have confidence in the military, again ranking poorly worldwide.*

Personal Freedom - Ranked 85th

Low levels of personal choice and high intolerance means Moldovans do not enjoy much freedom

Moldova is a relatively intolerant country, with less than half recommending their area as a good place to live for ethnic minorities, and just 50% saying it would be a suitable place for immigrants.* Moldova ranks in the bottom 20 on both variables. Moldovans do not enjoy high levels of freedom in religion, movement, or speech, and only 62% are happy with their freedom of choice in their day to day lives, a low number internationally.*

Personal Freedom - Ranked 85th

Low levels of personal choice and high intolerance means Moldovans do not enjoy much freedom

Moldova is a relatively intolerant country, with less than half recommending their area as a good place to live for ethnic minorities, and just 50% saying it would be a suitable place for immigrants.* Moldova ranks in the bottom 20 on both variables. Moldovans do not enjoy high levels of freedom in religion, movement, or speech, and only 62% are happy with their freedom of choice in their day to day lives, a low number internationally.*

Social Capital - Ranked 93rd

Group membership is very low in Moldova, and not many citizens feel that they can trust others

A low percentage of Moldovans feel they can place trust in their fellow citizens, and only five out of six people feel they can rely on their family and friends, which is below the global average.* Similarly, most Moldovans don’t consider their friends to be highly important. Memberships in sports, arts, religious, and environmental organisations are very low in Moldova.* Very few of the Moldovans asked had donated to a charity in the last month, but average numbers volunteered and helped strangers.* Moldova is a moderately religious country, with the populace considering religion important in their day to day lives.*

Social Capital - Ranked 93rd

Group membership is very low in Moldova, and not many citizens feel that they can trust others

A low percentage of Moldovans feel they can place trust in their fellow citizens, and only five out of six people feel they can rely on their family and friends, which is below the global average.* Similarly, most Moldovans don’t consider their friends to be highly important. Memberships in sports, arts, religious, and environmental organisations are very low in Moldova.* Very few of the Moldovans asked had donated to a charity in the last month, but average numbers volunteered and helped strangers.* Moldova is a moderately religious country, with the populace considering religion important in their day to day lives.*

* Data taken from the Gallup World Poll