Cooperation between the EU and the partner countries in Eastern Europe is vital for consolidating and setting the projects and priorities of both parties as regards economic growth, optimisation of relationships, development and integration of communication paths.
According to country reports and regional reports (published in March 2013) on the progress of the European Neighbourhood Policy (ENP) of 2012, cooperation between the two parties has become tighter and now triggers positive results. In the trade segment, the two parties are constantly developing their activity and EU continues negotiations for signing association agreements with the Republic of Moldova, Armenia and Georgia. As part of the agreements, the countries will include deep and comprehensive free trade zones and these agreements should be advanced and even finalized by autumn 2013.
One of the sectors with problems that the parties are facing is the transport sector. Reforms in this sector cover all transport modes, but projects are far from being achieved. Most of the countries are gradually aligning to EU standards as they are vital for the integration of the partner countries in the EU transport system.
To encourage the development of this sector, including energy, at the end of March, the European Commission decided to grant EUR 200 Million (as part of the Neighbourhood Investment Facility-NIF). With these funds and with loans from the EU’s development banks, more competitive financing structures could be set for the major projects of the neighbouring countries in the east and south.
The projects for which these funds will be allocated will ensure the interconnection of infrastructure between the EU and the neighbouring countries. “Since the launch in 2008, the Neighbourhood Investment Facility has proved to be a vital element in the cooperation with neighbouring countries. It helps our partners to improve the sectors they most need, such as energy, transport, environment or the social sector”, declared ŠtefanFüle, EU Commissioner for Enlargement and Neighbourhood Policy.
As part of the EU Association Agreement, Moldova is in full process of implementing major reforms aimed at increasing economic competitiveness. For 2010-2013, the European Union granted Moldova financial assistance of EUR 550 Million, Moldova being EU’s neighbour which benefited most from assistance per capita.
According to the report Implementation of Progress with the Neighbourhood Policy in the Republic of Moldova in 2012 (published in March 2013), the EU-Moldova political dialogue has been consolidated and negotiations on the Association Agreement and the Deep and Comprehensive Free Trade Area (DCFTA) has significantly progressed. “Moldova has made important progress in nearly all the sectors established in the Action Plan”, said the EC. Important decisions regarding the implementation of legislations and regulations of the EU standards have (CFM) was changed to separate the infrastructure manager from operation and it is necessary to open the market and to set the institutional structure for regulation. Also, a substantial increase in the freight traffic was recorded in 2012, and traffic through Transnistria was resumed in spring 2012, but was limited because of various hindrances”, the document shows.
The fact that EU is interested in the development process of the Republic of Moldova, not only by granting assistance, but also by allocating investments, stimulates economic sectors, especially the transport sector for which infrastructure development investments are envisaged. That is why on 6-7 June, Chisinau will host the Moldovan Railway Summit, organised by CFM and Club Feroviar, an event which will bring forth the need for investments in railway infrastructure and in the rolling stock fleet.
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