Romania’s political landscape is facing a major shakeup as the governing coalition has been thrown into turmoil, with the Liberal Party effectively ending its three-year alliance with the Social Democrats just weeks before crucial elections, Bloomberg reports.
The move, announced by Liberal Party leader Nicolae Ciuca, came in response to a controversial court decision that removed a far-right candidate from the November 24 presidential race. Ciuca accused the court of playing into the hands of the Social Democrats, his coalition partners.
The political coalition “stops here,” Ciuca declared, while confirming that the Liberals would continue to support the government in the short term.
The abrupt decision casts a shadow over the fragile coalition between the long-time political rivals, which has provided a measure of stability for the past three years. The move comes amid a complex election cycle with both presidential and parliamentary votes scheduled for November and December.
Polls ahead of the December 1 parliamentary election indicate that neither party is likely to secure a majority on their own, creating an uncertain political landscape. Romania is grappling with a widening budget deficit, while seeking to bolster economic growth, further complicating the political landscape.
Ciuca’s move comes as he faces off against Prime Minister Marcel Ciolacu, the Social Democratic leader, and former NATO deputy chief Mircea Geoana in the presidential race. Ciuca, who previously served as prime minister before handing the reins to Ciolacu last year, trails significantly in the polls.
The back-to-back elections, with a potential presidential runoff scheduled for December 8, are set to shake up Romania’s political landscape. Despite the current coalition’s apparent fragility, the Social Democrats have expressed their desire to continue the alliance with the Liberals to push through crucial reforms.
However, Ciuca’s decision reflects a growing frustration with the alliance, and the recent court ruling, which many view as controversial, has further fueled tensions. The court’s decision to disqualify Diana Sosoaca, a far-right politician known for her opposition to the EU and NATO, sparked debate across the political spectrum.
The current political turmoil in Romania has left investors watching closely, particularly concerning the country’s widening budget deficit. The leu, Romania’s currency, remained unchanged against the euro on Tuesday.
