Wednesday, December 05, 2007

Moldovan Democracy: How Amazing Is It?

I came across an interesting, yet somewhat controversial article Amazing Moldova by D. Furman. The author looks at the situation of democracy in Moldova from a different perspective and finds that Moldova's metamorphosis from a Moscow-ruled Soviet republic into an independent country is profoundly unique in the midst of the NIS area. Although Moldova has become neither a truly democratic state, nor a “weakly managed” democracy such as Azerbajan or Belorus, it managed to combine in an unprecedented way features from both types. Moldova peacefully combines two extremes records in the NIS area: on one hand, the revival and return to governance of a powerful communist party, and on the other hand, the highest level of alignment of its institutions to the general democratic model.

According to Furman, despite serious economic difficulties and a profound national identity crisis, the Moldovan democratic institutions have continuously developed. In fact, he claims, the societal cleavage on the national identity issues has actually reinforced the Moldovan democracy. Moreover, the return of the communists, instead of killing democracy, has actually strengthened it. The most amazing conclusion of Furman’s analysis is that Moldova can even teach other countries a lesson … in political honesty.

The specific Moldovan circumstances contributed to the situation in which the “rules of the game” were followed by both the Moldovan ‘players’ and, more consistently, by the West. The result is not bad. Possibly, Moldova’s most important lesson resides in the fact that, very often, honesty is the best way of doing politics.” (own translation)

I think the basic question raised by Furman is both important and interesting. Moldova is indeed a unique case in terms of political development. Perhaps, from outside and in comparison with other NIS countries, Moldova’s situation does not look so bad. However, I cannot agree with Furman’s optimistic view regarding democratic institutions in Moldova. From within, they seem to stagnate and public respect towards them is continuously falling. The revival and return of a communist party to power might not have killed (but frequently discouraged) all democratic institutions and processes (a worst case scenario which, by the way, is being gradually enacted in Russia by a non-communist party). The return of the communists and their on-going rule should be seen and evaluated in terms of opportunity costs. The low quality of governance brought by the communists has allowed major development, social and security challenges to stay unresolved or even worsen. For years now, Moldova remains the poorest country in Europe, largely due to continuous lack of political astuteness and maturity. Preserving status-quo is the easiest thing to do in Moldova, and should not be regarded as a political accomplishment.

Comments:

Peter Myers , December 05, 2007  

Interesting. I'm skeptical of his ideas, too. Is this published anywhere in English?

Tom , December 06, 2007  

Interesting how ones perspective shapes opinions. Maybe a little like the elephant you mentioned earlier. I would like to know more about Furman beyond that he’s obviously writing for a Russion website.

Lucia , December 06, 2007  

Dmitrii Furman holds a PhD in History, is a professor, and researcher at the Institute of Europe of the Russian Academy of Science .

According to the Russian in Global Affairs online publication, an English version is published on a quarterly basis. Note the membership of editorial board: is quite impressive.

JTapp , December 06, 2007  

His thoughts are in line with other institutions' observations. The World Bank/IFC's report on tax reforms released last week praises Moldova for being one of the few countries to continuously improve its tax code in east of the last 3 years. The economy is consistently growing despite the Russian ban on imports, and foreign investment is on the rise.
The biggest problem to further growth is the Transnistrian question, which I'm told is the #1 reason keeping interested investors out. I agree, lack of progress on that political front is hampering growth, but Moldova overall is showing significant improvement.

Lucia , December 06, 2007  

First, the Moldovan GDP may be growing but this growth is mainly due to an ever-increasing inflow of remittances, which does not qualify as an intended result of governmental policies, which the same World Bank estimates to amount to another national budget (about $ 1.3 billion). Actually, when 30% of a country's GDP comes from remittances, it is a bad sign in terms of quality and sustainability of economic growth. Second, a growing GDP is not an indicator for the quality of democratic institutions.

JTapp , December 06, 2007  

My goal was not to equate GDP growth with good governance, only to show that overall there are positives, like tax code restructuring, and foreign investment (helped by recent privatizations by the administration) that owe some credit to improvement in governance.
As of yesterday's news, Moldova is now tied with Tajikistan in remittances as percentage of GDP (36.3%).
Recent research has shown, however, that such large remittances may not hamper long-term economic growth.
Per last year's World Bank report on former Soviet Union countries and immigration, 26% of Moldovans who work abroad express a desire to start a business in Moldova. The government could help encourage such entrepreneurship by cutting the red tape and number of days it takes to start businesses.
If foreign investors are scared away by Transnistria, it'd seem to be a good idea to make the investment climate favorable for locals.

Scraps of Moscow , December 09, 2007  

Russia in Global Affairs is a joint project with the US journal Foreign Affairs (which is as prestigious as it gets), and all of the articles that appear in the print journal are eventually translated into English (the Russian-language print version is published every two months; the English-language version is quarterly) and appear here. So it's not just a Russian website, it's probably one of the more significant Russian publications on foreign policy issues.

Beyond that, I think that the article (once it comes out in English) will be good in the sense that it might allow some policy makers in the US to read about a country which they generally forget or misunderstand and realize that it has had multiple peaceful, electoral changes of power - something that not many other post-Soviet countries have achieved.

The huge role of remittances in the economy is problematic, of course. On the other hand, I don't think its as problematic for Moldova as it is for Tajikistan or Central American countries, which are located far away from the places their laborers go. I'm just guessing and don't have any World Bank data to back up this hypothesis, but here it is: it's closer for Moldovans to come home (making it more likely that they will do so to invest their earnings), and more importantly the proximity to the EU means it's more likely that Moldova will eventually be able to export more things to Europe than just the labor of its citizens.

Unknown , June 25, 2010  

uk viagra
buy viagra uk
generic viagra uk
viagra online uk