Cultivating Innovation: Moldova’s Wine and Tech Hub Blend

The advantages of one of Europe's most ambitious tech hotspots
Marina Bzovîi
Marina Bzovîi

When you think of tech hubs, London, Lisbon or Berlin might spring to mind. But what if I told you that the next big thing in tech isn’t where you expect? Welcome to Moldova, the “Code Capital” of Europe. Marina Bzovîi, Administrator of the Moldova Innovation Technology Park (MITP), invites you to discover why Moldova is becoming the go-to destination for tech startups and big business.

The Most Beneficial Tax Offering in Europe

Moldova’s standout feature? A simple, flat 7% tax that covers everything: corporate income tax, personal income tax, social security contributions, health insurance, local taxes, road taxes, and real estate taxes. This is the lowest tax burden in Central and Eastern Europe, making Moldova incredibly attractive for tech companies.

Imagine this, for every £1 million of revenue, a business in the UK pays £250,000 in taxes, whereas in Moldova, you'd pay just £70,000. That’s a staggering amount of savings that can be reinvested into your business, into your team, your research and development and much more. This isn’t just a short-term benefit either, as the 7% tax rate is guaranteed until December 31, 2035.

A Sandbox of Innovation

Lower costs mean higher investment in innovation. Global companies are already leveraging Moldova’s conducive environment for tech research, with telecom giant Orange selecting Moldova as the only location globally for its  IT development. 

What’s more, you'll find prominent players like Crunchyroll, Endava and Parkopedia at MITP, joining over 1,800 resident entrepreneurs who are pushing the boundaries of what’s possible across sectors such as Fintech, Telecommunications, Government, and Entertainment.

The innovation from the park is boosting Moldova's economy and drawing in investors at a rapid pace. According to Lloyds Bank, foreign investments surged by 76% in 2022. Furthermore, Moldova's IT industry is thriving, contributing 5.1% to its GDP and doubling since 2018, a trend supported by government backing of the park.

Getting set up is a Breeze

Setting up a business in Moldova is refreshingly straightforward. Submit your business application and within seven days, you’ll have your answer. Throughout the process, MITP offers consultations to ensure the process is a breeze.

For employees, it’s just as seamless. Residency applications are processed within seven working days,. The Moldovan government also facilitates and fast-tracks documentation for expatriates, with work permits for managers and specialists granted in under a month.

Moldova’s Unexpected Delights

Forget the stereotypes about Eastern European food. Moldova is a culinary treasure trove just waiting to be discovered. Wine is certainly at the top of the agenda, with the country holding the Guinness World Record for the largest wine collection at Mileștii Mici, boasting nearly 2 million bottles.  A Moldovan wine even snagged the Best Wine Award at the London Wine Competition in 2023! There's no doubt that foodies and wine enthusiasts alike will be enamoured with Moldova.

And it’s not just about food and wine. Chisinau, Moldova’s capital, is a green oasis with eleven parks, ten forests, and abundant green spaces. The Central Market in Chisinau is also full of eco-friendly produce, harvested with love by local producers

So the benefits are clear, Moldova is a tech hotspot where businesses can save big, innovate freely and enjoy a quality of life that's more 'la dolce vita' than '9-to-5 drab'. So why not take the leap and see for yourself why Moldova is the next big thing in tech?

Written by
June 11, 2024