CHISINAU (Moldova), April 3 (SeeNews) – The EFTA–Moldova Free Trade Agreement (FTA), which had been signed on June 27, 2023, came into force for all parties on April 1, following the completion of the necessary internal procedures by Switzerland and Liechtenstein, the European Free Trade Association (EFTA) said.
The agreement, which aims to enhance economic cooperation, facilitate trade, and strengthen political ties, had already been in effect in Moldova, Iceland, and Norway since November 1, 2024, the EFTA said in a statement on Tuesday.
“The ambitious and broad-based FTA covers trade in goods and services, investment, intellectual property rights, government procurement, trade facilitation, competition and sustainable development. Notably, the agreement features a dedicated chapter on electronic commerce, aligning with EFTA’s approach to modern digital trade rules,” the statement reads.
“What does the agreement mean for Moldova? Duty-free or reduced duty exports, opening new prospects for Moldovan products and stimulating an increased inflow of investment into the country’s economy,” national investment promotion agency Invest Moldova said in a separate social media statement on Tuesday. “According to 2023 export statistics, exports to EFTA markets were approximated at 33.3 mil USD [30.2 million euro].”
As per the EFTA statement, two-way merchandise trade between EFTA states and Moldova has grown by over 38% to 87 million euro over the last five years.
Moldova and the EFTA negotiated the agreement between March 2021 and March 2023.
EFTA was founded in 1960 as an alternative to the European Economic Community (EEC), a precursor to the European Union (EU), for countries that wanted to participate in free trade without becoming part of the bloc.
Last month, the European Payments Council approved the inclusion of Moldova in the geographical scope of the Single Euro Payments Area (SEPA) payment schemes.
($ = 0.9065 euro)