At a recent edition of the TUK Talks, produced by the ICDC partner TUK / AO Tarsmi, political analysts Alexei Tulbure and Victor Ciobanu tackled some of the biggest questions facing Moldova today. Their conversation focused on two major developments: suspension of the majority of the U.S. government funding in Moldova and the European Union’s decision to provide Moldova with a €2 billion support package. What do these changes mean for Moldova’s democracy, economy, and future?

The Impact of USAID’s Withdrawal

For years, the U.S. Government has been a key partner in Moldova’s development — funding infrastructure projects, supporting independent media, and strengthening democratic reforms. Victor Ciobanu reminded the audience of the impact of that contribution: repaired schools, rebuilt roads, modernized hospitals, and support for independent journalists investigating corruption and exposing oligarchic structures.

With most of the U.S. Government funding being frozen under the new U.S. administration, these programs now face an uncertain future. Moldova’s fragile independent media sector, in particular, could suffer without transparent, reliable support.

A Lifeline from the European Union

Amid growing concerns, the European Union stepped in with a €2 billion package aimed at supporting Moldova’s reforms and economic resilience. According to Ciobanu, around €200–300 million will be released already in spring 2025, with further disbursements tied to performance and reform progress.

This funding is intended for the long-term development, not short-term political gains. It will support critical infrastructure projects such as the Vulcănești–Chișinău electricity transmission line, energy efficiency upgrades in public buildings, and new domestic energy generation capacities. Strengthening Moldova’s energy independence from external sources, including Transnistria, is seen as a vital national security priority.

“This EU support is a direct investment in Moldova’s future,” Ciobanu stressed, contrasting it with electoral practices involving cash-for-votes that have plagued past campaigns.

A Critical Test for Governance

Both experts agreed that the success of these investments will depend on how Moldova manages these funds. Good governance, transparency, and strategic planning are crucial. Without them, even the best-intentioned support can be squandered.

Alexei Tulbure remained cautiously optimistic. While he lamented the current gap left by the suspension of the U.S. Government funding , he expressed confidence that Moldova’s European path remains firm — particularly as European leaders now fully recognize the need to strengthen countries like Moldova and Ukraine against external threats.

Why It Matters

The conversation at TUK Talks underscored that Moldova stands at a crossroads. The loss of the American support is a blow, but the EU’s investment offers a chance to build a stronger, more resilient country. However, success will require a renewed commitment to democratic values, independent media, fair elections, and responsible governance.

Sources: TUK Talks discussion with political analysts Alexei Tulbure and Victor Ciobanu, March 2025.

The U.S. Cuts USAID Programs, the EU Increases Support for Moldova