This report is the result of research and analysis undertaken as technical assistance to the Ministry of Finance of the Republic of Moldova, delivered by the World Bank Governance team in collaboration with the UK’s Good Governance Fund. It focuses on the issues identified by OECD Guidelines on Corporate Governance as important in ensuring that state owned enterprises (SOEs) operate in an efficient, transparent and accountable way.

The report documents the findings of Phase I technical assistance, and serves as a foundation for the development and prioritization of potential reforms. Recognizing the challenges and legacy of reforms in this area, the report outlines current practices and highlights key areas for future focus by policy makers which may help to improve public ownership. It draws on publicly available data, data provided by counterparts and collected from country authorities.

The report presents recommendations for reform; it does not attempt a comprehensive diagnostic comparing standards and practices in Moldova with relevant international benchmarks. Implementing many of the good practices will be a challenge for Moldova in the short-term. Phase 2 of this technical assistance will support implementation and capacity building in selected areas.