EXECUTIVE SUMMARY Economic developments have been encouraging. The recession in 2014 was milder than expected and GDP growth was positive in the first quarter of 2015 for the first time in almost four years. The fiscal outturns have exceeded program projections by a large margin. Liquidity and...

This paper presents Second Post-Program Monitoring Discussions focusing on Moldova. Governance in the banking system remains poor and the condition of some large banks is fragile. The budget faces a tight financing situation, and�without corrective measures�the deficit is projected to widen...