Mircea Baciu
The reduction in the number of real estate transactions takes place against the background of record price growth. By the end of 2025, the average cost of one square meter in Chisinau reached 1720 euros. In just two years, it has increased by 650 euros.
Some experts explain the situation on the real estate market by the new legal norms restricting the use of cash in real estate transactions, as well as by the new legal norms regarding the origin of funds. When these changes were introduced, there were opinions that they were made in favor of commercial banks. And indeed, at one point there was an increase in mortgage loans. But experts note that, in any case, the general decline recorded in the real estate market affects the mortgage lending segment as well.
If the situation in the real estate market does not recover, there is a risk that we will witness quite severe consequences for the construction market, despite its stable development over the past two years (in 2024, the volume of construction work increased by 4.8% compared to 2023, and in the first nine months of 2025 – by 37.3%). And a possible decline in the construction market will further aggravate the problem of providing people with affordable and quality housing. At the moment, demand already exceeds supply by 30%. If growth in the construction market stops or, even worse, declines, supply will be reduced even further.
It is obvious that decisive measures are needed to overcome the above-mentioned impasse. Some believe that it is enough to revise the regulations on cash restrictions in real estate transactions, others believe that it is enough to revise the rules of origin, a third category relies on the implementation of government programs aimed at facilitating access to housing, etc. I believe, however, that a much deeper and more comprehensive approach is needed to address the problem. Consistent and coordinated efforts are needed at the highest level. There is a need for a whole set of measures to be taken both at the state and municipal levels.
I have developed such a comprehensive approach, which includes a whole range of actions to be taken in this direction, and I have presented it in an open letter addressed to Prime Minister Alexandru Munteanu. Just in case, I attach the link to the open letter to this piece. Thus, I confirm my readiness to provide all the necessary support (at the level of information and expertise) to the authorities in their efforts to solve the issue of ensuring the widest possible access of citizens to quality and comfortable housing. In general, I believe that when a country faces such large-scale problems, it is the duty of everyone who has the opportunity to participate and help find solutions.
Mircea Baciu,
entrepreneur from the Republic of Moldova
