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Moldovan government has window for reform

Monday, August 5, 2019

Subject

A possible period of respite for Moldova.

Significance

In a break from its predecessors, Moldova's new coalition government came to power with a strong anti-corruption agenda and is starting to reform the system. The coalition's senior partner, the Socialist Party, is solidly pro-Moscow, but Prime Minister Maia Sandu belongs to the pro-Western Acum DA PAS, and she and like-minded ministers are shaping reformist policies. These policies are underpinned by a commercial shift: the share of trade with the EU is growing while that with Russia is falling.

Impacts

  • Moscow will have to tolerate Chisinau's refusal to commit to closer Eurasian integration.
  • Romania's growing economic ties with Moldova will strengthen its voice in EU politics.
  • Moldovan growth, fuelled by exports to the EU, will help keep Transnistria's economy afloat.
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