Internal state debt management in the Republic of Moldova [Articol]

Abstract

Purpose of the article: Internal state debt is the government s debt to its own residents, as well as to nonresidents who purchase government securities on the domestic market. Such loans are typically used to cover treasury and budget deficits, which is why their management is important. This article aims to evaluate the efficiency and effectiveness of the Republic of Moldova management of its internal state debt, and to identify potential improvements. Methodology: The study employed observation, analysis and synthesis methods. The questionnaire method was used to assess public opinion on internal state debt management. The information base consists of online reports published by the Ministry of Finance, laws, government decisions, National Bank regulations. Conclusions: The management of Moldova s internal state debt has undergone changes over the past seven years, such as prioritising the issuance of government securities on the primary market and launching a platform for the direct sale of government securities to natural persons. Between 2018 and 2024, the balance of internal state debt increased, though its proportion of total state debt decreased. As the redemption of government securities is currently concentrated in the short term (up to one year), it is important to encourage the purchase of long-term government bonds. Originality: The articles originality lies in its concise analysis of domestic public debt, identification of problems, and proposed solutions, which are correlated with the results of public opinion research. This enables the development of sustainable and effective management strategies.