When Protecting State Security Becomes a General Mechanism of Control over the Economy

The Civic Movement “Construim Încredere” has analysed how Law No. 174/2021 and Government Decision No. 437/2025 regulate the screening of investments from the perspective of state security.

We consider the protection of critical infrastructure, strategic sectors and national interests to be necessary. However, our analysis shows that the current mechanism has moved beyond the logic of targeted screening of potentially risky investments and has effectively become a broad instrument of administrative control over significant segments of the economy.

The law applies not only to foreign investors, but also to citizens of the Republic of Moldova and companies with domestic capital, requiring prior approval in numerous cases. At the same time, investments that have already been approved may be reassessed, while sanctions may include substantial fines, unwinding of the investment or suspension of economic activity.

We also draw attention to the fact that Government Decision No. 437/2025 introduces measures that are not sufficiently clearly grounded in the law itself, including restrictions concerning corporate rights, dividends and permits. At the same time, legislative amendments adopted in 2026 broadened the notion of a “threat to state security” without establishing sufficiently clear criteria.

Another important concern is the decline in transparency. Since November 2025, a significant amount of information regarding the companies examined and the decisions adopted has been anonymised, limiting the possibility of public scrutiny over the exercise of these powers.

We do not claim that the mechanism is, in itself, a mechanism of corruption. However, the concentration of broad powers, combined with administrative discretion and reduced transparency, creates serious integrity vulnerabilities and risks of arbitrary application.

The Civic Movement “Construim Încredere” calls for a legal and constitutional reassessment of the mechanism, clearer criteria for state intervention, stronger safeguards for investors, the restoration of transparency, and the examination of major amendments through separate legislative procedures accompanied by legal and anti-corruption review, impact assessment and genuine public consultations.

State security cannot be placed in opposition to the rule of law. The Republic of Moldova needs secure investments, but it also needs clear, proportionate, predictable and verifiable rules.