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William Schreiber on Moldova's Upcoming Election - NewsweekNext Sunday, Europe’s poorest country will head to the polls for its third election in two years. If the West has learned from its mistakes promoting democracy in formerly Soviet countries like Georgia and Ukraine, the parliamentary elections in Moldova could be Europe’s biggest chance to expand its values eastward. If not, the elections could trigger an ersatz popular revolution, thanks to an impatient young generation, eager for the economic benefits of EU membership.
This is a country where the Communist Party could prove democracy’s greatest hope—and pro-Western youth its greatest threat. In April 2009, mobs of young protesters stormed the Parliament building, chanting anticommunist slogans and waving EU flags. They could do it again this Sunday if things don’t go their way.
These protesters may be looking to Europe, but don’t call them democrats. The elections they rioted against were declared free and fair by international observers. Unlike the color revolutions, which swept the former Soviet Union in response to blatant fraud, there is no evidence of rigged elections to justify revolution in Moldova. Turns out, the Communist Party of Moldova doesn’t need to fix results: communists go to the polls. Years of required participation taught them voter discipline. Turnout in regular elections typically exceeds 60 percent, much to the frustration of some younger voters. Dana Condrea, a recent college grad, says young Moldovans want to see European standards of living. “We’re sick and tired of communism,” she says. “At our university, you can barely find anyone who sympathizes with them.” When the communists won some 50 percent of the April vote, word spread, and students took to the streets.
Moldovan youth apparently don’t remember that the loss of a fair election is not an occasion for revolution. But their basic complaints—about the failure of the regime to bring economic growth—are legitimate. To be sure, countries without democratic values can never be European. But experts say the West should accommodate their thirst for change by pressuring the country’s strongest politicians to become better state builders. “This isn’t 1989 in Moldova,” says Damon Wilson, vice president of the Atlantic Council. “But I would say there is a real opportunity for an increasingly democratic and pluralistic system to take hold.”
The West should offer mentorship in good governance to whoever wins Sunday’s election, Wilson argues. It’s a lesson learned the hard way in Ukraine, where the Orange Revolution’s inability to follow through led to widespread disgust and apathy. “When you have the opportunity to govern in a country like Moldova, you need to deliver,” he says. “You need to demonstrate the benefits of democratic elections. The reality is, the day after elections, whoever is running the show has a very hard slog before them.”
Moldova’s liberal forces, now in power, have perhaps the hardest slog. Supporters are split between two major leaders: Vlad Filat, the prime minister, and Mihai Ghimpu, the country’s acting president. Each has trouble putting rivalry aside. Their feuding has been an asset to the communists in the past. It could become an additional liability for establishing democratic legitimacy through governance.
That leaves an unlikely champion for Western values: Vladimir Voronin, Europe’s first electable communist since the fall of the U.S.S.R. Voronin and his party held the Moldovan presidency for eight years straight until they lost in late 2009. While maintaining the Kremlin’s favor, Voronin proved himself to the West by saying yes to trade and a firm no to Russian-backed separatists. In fact, the blessings of Moscow should be another plus for Europeans. Georgia became unstable thanks to Russia’s perception of Mikheil Saakashvili as a satellite threat. Germans thought twice about supporting Ukrainian independence after Viktor Yushchenko’s friction with Moscow shut off Ukraine’s gas-transit pipelines.
Still, even Wilson admits it may be hard to persuade skeptical U.S. congressmen to go to bat for a party that embraces communism—hammer, sickle, and all. But he remains optimistic about Voronin’s role. Wilson believes that with coaching from center-left European socialists, the Moldovan communists could evolve into garden-type social democrats. No matter who comes to power Sunday, Moldova may not soon resemble a worker’s paradise. But with the right kind of help from its neighbors, it may start looking more European.
Schreiber is a Boren National Security Scholar based in Warsaw.
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Geopolitical Journey, Part 1: The Traveler
Geopolitical Journey, Part 1: The Traveler
November 8, 2010 2157 GMT
Of the three things the geopolitical traveler must do, the most important perhaps is walking the streets. Part one
Sharing | LinkedInDuring recent business trips to Chisinau, Moldova, I have had the pleasure of working in a country with excellent, if not superior, Internet access within hotels, parks, Internet cafes, and really any other location within the capital city you would like to “jack in” to the Internet.
As I watch my Slingbox connecting to Channel 2 Evening News in Los Angeles, I am enjoying anywhere between 500Kbps and 900Kbps throughput, more than adequate to keep homesickness under control and keep up to date on the community.
CH2-cap2 Moldova has several Internet Service Providers available for public access, including StarNet, Orange Moldova, MoldTelecom, and lots of resellers of other company Internet capacity.
The cost of accessing high performance Internet is a fraction of what you would expect to pay in the United States or other “developed” countries, and the performance is among the best I have experiences traveling in at least 15 countries during the past year.
Starnet and Orange take advantage of new terrestrial fiber optic capacity connecting Moldova through Romania, and then directly interconnecting with the global Internet community at Europe’s major Internet Exchange Points, including the Amsterdam Internet Exchange (AMS-IX), the Frankfurt Exchange (DE-CIX), and London’s LINX.
A traceroute (following the path an Internet packet takes from my computer to my webhost in California) shows excellent routing outside of Moldova:
Microsoft Windows [Version 6.1.7600]
Copyright (c) 2009 Microsoft Corporation. All rights reserved.
C:\Users\John R Savageau>tracert www.pacific-tier.com
Tracing route to sbs-p4p.asbs.yahoodns.net [216.39.62.190]
over a maximum of 30 hops:
1 3 ms 10 ms 2 ms itns.md [93.113.118.1]
2 5 ms 3 ms 3 ms 10.11.16.254
3 7 ms 6 ms 14 ms ex-starnet.starnet.md [89.28.1.177]
4 8 ms 5 ms 10 ms 95-65-3-161.starnet.md [95.65.3.161]
5 68 ms 49 ms 49 ms ge-1-3-0.pat2.dee.yahoo.com [80.81.193.115]
6 135 ms 137 ms 136 ms as-1.pat2.dcp.yahoo.com [66.196.65.129]
7 135 ms 134 ms 205 ms ae-1-d171.msr2.re1.yahoo.com [216.115.108.31]
8 137 ms 137 ms 137 ms gi-1-45.bas-b2.re4.yahoo.com [216.39.57.5]
9 136 ms 139 ms 136 ms p4p2.geo.re4.yahoo.com [216.39.62.190]
Trace complete.
Disposable Income Demands Additional Considerations
Market conditions in Moldova are different from the US and other economically developed countries. Those living below the poverty line in Moldova, according to the CIA World Factbook, is around 30% . Disposable income continues to be low, and a small percentage of the population owns or has access to private personal computers.
Thus the cost of Internet access, to develop market, is possibly artificially low. or the US Internet access providers are artificially high…
Cost of accessing prepaid wireless Internet per month through Liberty WiFi, a StarNet reseller:
Capture
NOTE: 1 US$ = ~12 Moldovan Lei
During a recent visit to Moldova I used Orange’s wireless Internet product, which was about 2 times the price of Liberty WiFi, but with equally impressive performance.
Internet Access is Essential for Moldova’s Development
As Moldova continues to struggle through the challenges of building a market economy, dealing with the issues of a newly democratized country, poor rural infrastructure (roads, telecom, power, etc), and socially coming to grips with their place in the European and Eastern communities, Moldova will need to quickly bring their citizens up to speed with technology and wired everything.
chisinau Cloud-based software, such as Microsoft Live Office, Google Docs, Yahoo Mail, and other hosted services will allow Moldovans access to Internet utilities without the high cost of software licensing, further allowing better use of shared resources in Internet cafes, schools, and other public locations. The government is aggressively pursuing modern eGovernment projects to help the citizens reduce the burden of bureaucracy on their lives , and children are exposed to technology throughout the education system.
With Moldova’s Internet Service Providers delivering some of the highest performance network access in the world, Modovans will further be relieved of the burden of constructing large and small data centers, taking advantage of cloud and SaaS service providers located within Europe and North America, returning precious funds to building business – rather than ICT server and services infrastructure.
Moldova Supports Private Enterprise
While there are some items that could use some adjustment, such as high tariffs for importing computer equipment, Moldova has at least supported both domestic and foreign telecom companies in developing both fixed line and wireless infrastructure. Orange (France Telecom), MoldCel Telecom (TeliaSonera), and Starnet continue to build fiber optic and wireless network infrastructure, with nearly 100% 3G coverage throughout the country.
The entire wireless system is 4G-ready, and deployment is planned within the next couple of years.
Impressive. Really.
Moldova: Russia's Next Target? | STRATFORMoldova: Russia's Next Target?
August 9, 2010 | 2151 GMT
Moldova: Russia's Next Target?
VLADIMIR RODIONOV/AFP/Getty Images
Russian President Dmitri Medvedev (L) and acting Moldovan President Mihai Ghimpu in Chisinau on Oct. 9, 2009
Summary
The head of one of the parties in Moldova’s pro-European ruling coalition said Aug. 9 that the coalition “de facto no longer exists.” This is just the latest in a series of events indicating rifts within the ruling Moldovan coalition — rifts that Russia could use as a way to increase its influence in Chisinau.
Analysis
The leader of the Democratic Party — one of four parties in Moldova’s ruling Alliance for European Integration (AEI) — said Aug. 9 that the ruling coalition “de facto no longer exists.” Democratic Party chief Marian Lupu said that although the coalition officially has held together, he was “ashamed” to belong to the same coalition as Moldovan Prime Minister Vlad Filat and acting President Mihai Ghimpu, and that he would stand as a candidate in the country’s upcoming presidential elections.
Lupu’s statements are only the latest sign of rifts within Moldova’s ruling coalition of pro-European parties. Russia sees these rifts as an opportunity to assess just how much effort — as well as risk — it is willing to take in increasing its influence in Chisinau at the pro-European elements’ expense.
According to STRATFOR sources in Moscow, Moldova could be the next former Soviet country where Russia will target pro-European political elements. This follows a key development in May, when Russian President Dmitri Medvedev and his newly elected pro-Russian counterpart in Ukraine, Viktor Yanukovich, issued a joint declaration that their countries would work together to address the ongoing dispute over the breakaway province of Transdniestria. There are two ways that Russia — with Ukraine’s help — could address the Moldovan issue in the short term. One is to attempt to bring Transdniestria under control along with the rest of Moldova, and the other is to maintain hegemony over just Transdniestria and settle for a split country, without controlling Moldova proper.
Moldova: Russia's Next Target?
Circumstances in Moldova could make the country vulnerable to Russia’s designs. The government is weak and split among the AEI member parties and faces constant challenges from the pro-Russian Communists, who are now in the opposition. The pro-European Ghimpu has made some extremely controversial moves like issuing a decree to mark June 28 as “Soviet Occupation Day” (which has since been overturned by the country’s Constitutional Court). This not only angered Transdniestria and caused Russia to retaliate by targeting the country’s wine exports, but polarized the pragmatic pro-European elements within Moldova as well, as evidenced by Lupu’s recent statements. This has caused the pro-European bloc’s popularity to fall and the Communists to make a comeback in the polls, and sets the stage for a referendum scheduled for September that could see a new set of general elections, likely in November. The Communists could then retake power from the fragile AEI.
Russia is not the only outside power vying for influence in Moldova; another more traditional suitor is Romania, which has cultural and ethnic ties to the country. Romania, seeing the course of recent events in Ukraine, has been pursuing Moldova aggressively, thinking it could be the next former Soviet state to fall to Moscow. Romanian President Traian Basescu recently stated that the two Romanian-speaking territories should be reunited, and that, should Ukraine make a move for Transdniestria or Moldova, Romania would use the Romanian populations in western Ukraine — mainly Bucovina — to challenge Kiev. Ukraine and Russia have taken Basescu’s comments quite seriously. Basescu’s comments were also controversial within Moldova, where many citizens are against being split between Ukraine and Romania and instead want Moldova to remain its own independent country.
The Transdniestria issue is also a key topic that Germany specifically suggested Berlin and Moscow work on as they seek to strengthen their ties via the Russia-EU Security Council. German Chancellor Angela Merkel said Transdniestria should be a priority for Russian-EU talks, and the issue was at the top of the agenda for Merkel’s meeting with Medvedev in June. Germany drafted a proposal for negotiations on the issue, but this included Russia removing its troops from Transdniestria — something Moscow has said it would not do. As Russia and Germany increase cooperation in the economic and energy sectors, the Transdniestria issue could slow this warming of relations. Russia expanding its influence in Ukraine is one thing, but Moldova may be a little too far into Europe for even Russia-friendly Germany to be comfortable with. Russia’s overtures in Moldova therefore could ripple across the rest of Europe, depending on how far Moscow decides to go to increase its influence in Chisinau.
Infomarket.md - Public Goverment 27.07.2010
This was announced by Minister of Agriculture and Food Industry Valeriu Cosarciuc speaking at the meeting of governmental commission for European integration held by Prime Minister Vladimir Filat. The head of the Ministry of Agriculture noted that the system of food safety will appear in Moldova together with creation of such agency. In his turn, Deputy Prime Minister, Minister of Economy Valeriu Lazar informed the commission on preparation for negotiations between Moldova and EU on the creation of a deep and comprehensive free trade area with EU within the Association Agreement. According to him, the negotiations on this document and its signing will make it possible to create favorable business environment for Moldavian companies and foreign investors. According to information, provided by Deputy Minister of Transport and Road Infrastructure Boris Gherasim, the State Administration of Civil Aviation of Moldova is ready to participate in consultations with European commission experts on liberalization of air services and in negotiations for joining of Moldova to the Single European Airspace. Vladimir Filat appealed to the members of governmental Commission for European integration to show maximum responsibility in implementation of measures, relating to integration of Moldova to the Single European Space. // 27.07.2010 - InfoMarket.
Moldova's news - Creation of Moldova Business People AssociationOn July 26th, 2010, the Moldova Business People Association was registered by a group of successful businessmen operating in the following fields: telecommunications, banking, media, advertising, commerce and others, who recognized the need to consolidate their efforts in order to contribute to settling the economic problems of the Moldovan society.
The main purpose of the Association is to create a transparent business climate, based on the fundamental principles of market economy, aimed at achieving sustainable and effective development of the national economy. This objective will be attained by promoting legislative initiatives, promoting the image of the country, attracting foreign investments in Moldova and developing the local business community.
The Association will present its action plan at an official event which will be held in the nearest future.
For more information, please contact the Executive Director of the Moldova Business People Association:
Mr. Roman Chirca
Tel: +373 60 066 220
Tel/fax: +373 22 809 913
roman.chirca@pro-sper.md
INTERVIEW: Moldova replaces Ukraine as darling of donors - BUSINESS NEW EUROPEGraham Stack in Chisinau
April 22, 2010
A year ago, Moldova suffered Kyrgyzstan-style public disorder following contested elections, which ended with a new pro-EU government pushing a reform agenda taking power. Lenders and investors took note, and on March 24 the Moldova Partnership Forum brought together sponsors and investors at a major donor conference in Brussels.
"The Moldova Partnership Forum held in Brussels was about two important things: trust and commitment," Melanie Marlett, World Bank country head for Moldova, tells bne. "Trust from the international community in the government's reform programme and commitment to supporting Moldova's development and modernization agenda."
As well as a total of $2.6bn pledged by institutions for critical investments in roads, access to water and sanitation, agriculture, energy, health, regional development and social protection, the March conference was also about positioning Moldova as the entirely unexpected star pupil from among the EU's "Eastern Partnership" pupils, says Marlett. The small country often cursorily referred to as "Europe's poorest country" has leapfrogged established reform favourites such as Ukraine. "Moldova's commitment to European integration and its willingness to embrace change and implement even tough reforms has put Moldova on the map in Brussels in a very positive way," Marlett enthuses.
This optimism is all the remarkable given that the crisis hit Moldova late but very hard. "Moldova's economy has been severely weakened by the global crisis," Marlett acknowledges. From 2000-2008, growth averaged 6%, led by consumption financed from remittances from Moldovan migrants. The crisis exposed the vulnerability of this growth path, with remittances falling by 29% in 2009, GDP by 6.5% and household consumption by around 12%.
But the new reformist Alliance for European Integration, taking office after nine years of Communist Party rule, quickly developed an Economic Stabilization and Recovery programme focusing on putting the country's finances in order, liberalizing markets and improving the business environment, and thus successfully garnered international financial support when in January the International Monetary Fund (IMF) agreed to lend it $574m.
Singapore on the Dniester
But this won't be sufficient on its own. "The global economic crisis has exposed the vulnerability of a remittance-based growth model. Moldova needs to start thinking about its future growth model. What are the potential sources of growth for Moldova?" asks Marlett. Here, World Bank thinking takes on board not only European, but also Asian, specifically Singapore's, experience with information and communication technologies (ICT).
IT currently constitutes 10% of Moldovan GDP, with 25,000 employed in the sector, according to statistics provided at an USAID Information and Communication Technology Summit in Chisinau on March 30. "The experience of countries like Singapore transforming the way government does business through the use of ICT is an example of how modern technology can reduce public spending, eliminate the human factor and thus minimize the risk of corruption, and deliver a better, faster and cheaper service to citizens and businesses," argues Marlett. The World Bank has consequently helped launch an ICT partnership between the two states, with Moldova signing an agreement with Singapore to draw on its experience.
A major obstacle, though, is that Moldova still has a criminally low broadband internet penetration of around 6% - not surprising considering a majority of the population is rural. "The government recently approved a decision to liberalize international broadband Internet connectivity. This will increase competition on the domestic market and lower internet costs for the end user."
In addition to the use of broadband, the World Bank is also exploring the use of mobile services - eg. m-banking, m-health, m-agriculture - as a way to reach an even wider audience, as penetration of mobile telephone use in Moldova is 70%.
These ideas have been incorporated into the government's own reform programme called "Rethink Moldova" that was endorsed at the donor conference. Among the more specific measures proposed is the restructuring and even privatization of national telecommunications provider Moldtelecom and the building of technology parks. A study by EU technical experts identified five potential locations for industrial parks, requiring estimated investment of €73m. The government is also planning investment in optical fibre infrastructure and an on‐ground digital television network.
The global media labeled last year's Chisinau protests as the "Twitter Revolution," but it was more a case of Twitter putting Moldova on the map than vice versa: protest leader Natalia Morar later acknowledged that she had only opened a Twitter account the day after the protests occurred, with "traditional" Russian social networks such as Vkontakte.ru and Odnoklassniki.ru playing the key role. But this is still a strong indication of connectedness among the younger generation, and of the potential for social change of ICT that Moldova appears to be placing much of its hopes upon.
