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Moldova’s One-Stop-Shops Curb Corruption and Save Time, Money for Businesses

Valentina Capraru, a bookkeeper for a small company, came to the One-Stop-Shop for permit authorizations in the town of Cahul to apply for a trade authorization.  Remembering the Soviet-era quality of state services, she expected to encounter long lines and too many confusing steps involving visits to numerous governmental agencies, where she would be asked to pay additional hidden costs associated with “speeding up” the process.  After completing the paperwork, she asked the clerk at the One-Stop-Shop where to go next and was greatly surprised to learn that she was done.

“They called me after eight days to come and pick up my authorization!” said a very impressed Ms. Capraru.

The Cahul One-Stop-Shop deliver efficient and courteous service to those seeking business permits
The Cahul One-Stop-Shop deliver efficient and courteous service to those seeking business permits

One-Stop-Shops are an integral part of the effort to streamline Moldova’s legal and regulatory environment for business activity, launched by the Regulatory Reform Initiative of USAID’s BIZPRO/Moldova project. In an October 2005 interview with Komsomolskaya Pravda, President Voronin proudly pointed to the new One-Stop-Shops as a major part of his government’s efforts to combat corruption. The President noted that, “The Guillotine procedure [for cutting unnecessary regulations], streamlined registration at One-Stop-Shops, and the activity of the Anti-Corruption Centre have already demonstrated huge successes.” 

A One-Stop-Shop is a non-government managed facility that brings state institutions together to issue permits for commercial activity and services (trade authorizations) in a single place, saving business people time, aggravation, and money.  It is especially beneficial for small and medium-sized businesses that often cannot afford to hire lawyers and specialists to solve problems related to the issuing of authorizations and permits.

Before opening the first One-Stop-Shop in Cahul, a series of workshops were organized. At these meetings, USAID BIZPRO/Moldova lawyers and information technology specialists trained local public authorities on how to use the software, and explained the role of every public official involved. Finally, a clear scheme of One-Stop-Shop structure was developed.  When the One-Stop-Shop in Cahul was ready to open, it was agreed that documents would be submitted on-line to eliminate the time-consuming collection of stamps and signatures from five different public authorities (fire inspection, fiscal department, preventive medicine department, police department, and the City Hall).  The results were double-edged: no more lines and no more bribes.

In 2005, five One-Stop-Shops opened in Moldova, with 10 more on the way in 2006.  Cahul, Hincesti, Edinet, Ungheni and Singerei were the first raions to open their One-Stop-Shops with technical support and training from USAID’s BIZPRO project. As a result, last year nearly 200 businesses obtained trade authorizations in these five One-Stop-Shops. A permit that used to take up to 90 days to receive, is now granted in as few as 10 days and officially costs $11, compared to the estimated $300 in unofficial bribes it once took.

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Fri, 02 May 2008 12:27:23 -0500
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