Sustainable agricultural progress in the Republic of Moldova: through economic indicators and growth opportunities

Abstract

Agriculture, as the most important branch of the economy, is affected by climate change. Adverse impacts of climate conditions can have serious consequences for the population in the context of deteriorating food insecurity and hampering economic growth. It should be noted that the profitability of agricultural enterprises plays a key role in the development of this industry, as high profit rates can stimulate investment in agriculture, promote the introduction of new technologies and increase overall productivity, which makes this aspect relevant and key to further study in scientific research. In this study, an overview of the situation in agriculture is based on data provided by agricultural enterprises, as this category of producers usually has a larger scale of production and also has more structured data, which allows them to study their activities in a comprehensive and reliable manner. The purpose of the scientific work is to analyze and quantify the factors that determine the dynamics of the key performance of agricultural enterprises – net profit based on the use of the method of correlation analysis as an effective tool for identifying patterns of financial activity of agricultural enterprises under the influence of various factors. The initial information for the analysis was the official data of the National Bureau of Statistics of the Republic of Moldova for the period 2015-2022. The results of the correlation analysis showed that the dynamics of net profit of agricultural enterprises by 98.02 % depends on changes in the factors included in the economic model, which allows to conclude the high practical significance of the results obtained and can be used to develop effective management strategies and increase financial stability in this sector of the economy.