Moldova warns of acute crisis as powers pledge more support

Moldova warned its citizens to prepare for a harsh winter because it was facing an "acute energy crisis" that could spark unrest as a result of Russia's war with Ukraine, which is threatening its energy supplies. Prices are also rising.

On Monday (21 November), 50 institutions and countries met in Paris to pledge assistance for Ukraine as concerns mount about its possible destabilisation by the conflict in Ukraine.

"The supply of electricity is being threatened by this war. We don't know if we will be able to find enough electricity and gas to heat or light our homes. And even if we did, the costs are prohibitive for our economy and people. This could threaten our security and social peace," Maia Sandu, president of the Republic, said to delegates.

"I know that everyone in Europe has to pay a high energy price, but the same prices have a far more devastating impact on our country's economy and people."

Moldova is located between Ukraine and Romania and has suffered the effects of rising energy and food prices. There have been thousands of refugees arrive in Moldova of approximately 2.5 million people. They have taken more Ukrainian refugees per capita than any other country.

Although Moldova has strong historical and cultural ties with Romanian member of the European Union, Moldova is dependent on Russia's Gazprom (GAZP.MM) for its gas imports.

It is uncertain that it will be able to provide enough electricity for its citizens, given the arrival of winter and Moscow's reduction in natural gas supplies of around 40%.

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Earlier this year, pledges totaling €659 million and €615m were made at donor conferences in Berlin (and Bucharest). Officials involved in the conferences stated that the pledges included repeated promises, project financing, and promises to inject more money into the economy than direct support.

A diplomatic source at the conference stated that there were not many new pledges. However, French President Emmanuel Macron spoke to delegates and said that Paris would contribute €100 million to support immediate needs in Moldova.

Macron declared, promising to help Moldova with its serious problems, that Macron would not give in to war fatigue or the idea that it will end soon.

Diplomatic sources claimed that Germany had pledged around €32.5m to aid refugees and infrastructure, as well as renewable energy.

Reporters were told by Annalena Baerbock, German foreign minister: "We will not leave Moldova in cold or darkness nor in a coming recession."

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