The idea to create a common economic space between two entities of a single state hasn't been proposed before, but it would be highly beneficial for Moldova. The Transnistrian region would gain even more from such a space. The opinion has been voiced by Vitalie Rapcea, author of the study “Defining the concept of a common economic space Moldova – the Transnistrian region, through the analysis of existent models”, presented during a press club organized at IPN by the Association for Foreign Policy.
Rapcea says that on the background of an intensively globalizing world, isolation increases economic costs. Decision-makers in Chisinau and Tiraspol have to choose between keeping up with the regional and global situation or intentionally limiting their economic performance, opportunities and benefits. According to the expert, creating a common economic area would not only ameliorate the economy on both sides of the river, but would also create new political opportunities, in the meanwhile strengthening mutual trust and regional security.
Vitalie Rapcea thinks that the common economic area would generate vertical integration, thus boosting the mobility of capital, goods and services, as well as that of the labor force. It's also expected it will increase the attractiveness for investors and radically diminish the chances of a new conflict on the Nistru River. He added that creating such an area bears no political risks for the regional administration, whose representatives should understand this.
According to the expert, this task can be achieved by negotiating and signing an agreement that would establish the fundamental principles, goals, stages and concrete actions on medium and long term. Rapcea thinks that first of all both sides must understand that precisely such a measure would allow both sides to make the great leap in eliminating the obstacles that limit their economic performance.
Creating a common economic area will cut prices, boost the offer and variety of goods, increase the mobility of labor force, help the free movement of goods and services and the exchange of the best entrepreneurial practices.
The press club is organized by APE with the support of the East Europe Foundation and funding from the Swedish International Development Cooperation Agency and the Danish Ministry of Foreign Affairs.
