Diana Chiriac: The Local Public Administration Reform Model Proposed by the Government

Mădălin Necșuțu
2026-06-13 07:28:00

Interview for the FES/APE Foreign Policy Bulletin

What do you consider to be the main structural weakness of Moldova’s current local public administration system, and why is the reform model you advocate better suited than the available alternatives to address this challenge, especially in light of the country’s European integration ambitions and the need to align with European standards of local governance?

The main structural problem of the current local public administration system is the limited capacity of many local public authorities. More specifically, it is their limited ability to provide modern, high-quality public services that are closer to the people living in local communities.

Many localities have a limited tax base, insufficient human resources, and difficulties in planning and implementing development projects that would help them develop in line with the needs of their residents.

All these factors generate a high level of dependence. First and foremost, this concerns dependence on financial transfers from the state budget. At the same time, significant development disparities persist between localities, along with a limited capacity to implement European standards at the local level.

The Government’s reform concept, which is currently the subject of extensive public discussion, seeks to address these challenges by promoting the voluntary amalgamation of administrative-territorial units, encouraging inter-municipal cooperation, and introducing other measures aimed at strengthening the capacities of local public authorities. The objective is to enable them to fulfil their core functions and develop their communities in accordance with their own needs and priorities.

The reform aims to create stronger, more capable, sustainable, and competitive municipalities. In the context of competition at the European level, we realize that a village in the Republic of Moldova will no longer compete with another village within the country, but rather with localities beyond our borders. Therefore, it is clear to us that we must be better prepared for what lies ahead and be capable of implementing European projects that will strengthen the capacity of local public authorities and contribute to the development of our communities.

Our concept focuses on human resources, capacity building, and the professionalization of municipal teams so that they can design projects and access funding dedicated to local development.

Another important element is reducing disparities and preventing the marginalization of certain villages and towns across the Republic of Moldova. Ultimately, the reform seeks to bring the Republic of Moldova closer to the principles of the European Charter of Local Self-Government and to the European principles of multi-level governance, including at the local level.

Citizens at the Heart of the Reform

Local public administration reform inevitably involves a difficult balance between administrative efficiency and local democratic representation. Where do you believe this balance should be struck?

We believe that this balance should be struck precisely where citizens feel represented and heard, where their needs come first, and where, at the same time, they benefit from functional, efficient, and high-quality services.

Today, the Republic of Moldova enjoys broad democratic representation across many local communities. However, the limited administrative capacity of many local administrations has unfortunately become a major constraint on their development.

A local public administration needs both democratic legitimacy and effective tools to provide quality public services to citizens. We are talking about essential services such as water supply and sanitation, road and infrastructure maintenance, as well as modern social and administrative services.

The reform of local public administration does not call into question the preservation of local identity— community culture, traditions, or festivals. On the contrary, it seeks to bring administration closer to citizens both through administrative consolidation and the strengthening of the mayor’s team, as well as through other mechanisms designed to facilitate access to public services that are more accessible and responsive to people’s needs.

In this regard, we are talking about the development of Unified Public Service Delivery Centres (CUPS), the introduction of the mayor’s representative as a mechanism of local representation, the preservation of community identity, and the consultation and involvement of citizens in the decision-making process.

At the same time, the reform also entails strengthening financial resources through a stronger budget, enabling local public administrations to invest in and develop their communities. The ultimate objective of the reform is to strengthen a local democracy that is functional, efficient, and sustainable.

Preparing for Pre-Accession Funds

What conditions are necessary for voluntary amalgamation to succeed in the Republic of Moldova? Are financial incentives alone sufficient, or will stronger forms of state intervention be required at some stage?

Voluntary amalgamation is one of the instruments through which the Government encourages local public authorities to strengthen their capacities, alongside other mechanisms such as intercommunity development associations, intercommunity cooperation, and intermunicipal cooperation.

We believe that this process can succeed under several essential conditions: the existence of clear financial incentives, the provision of technical and methodological support, and the building of trust between communities. Equally important are clear and consistent communication with citizens and guarantees that public services will improve as a result of the process.

Both the law and the Government decision adopted for this purpose constitute the instruments that have created a concrete, clear, predictable, and enabling framework for the implementation of this process. All these elements are necessary to initiate the transformation and strengthening of local public administration.

The objective is that, over time, administrative capacities will be reinforced and local administration teams will be prepared to access and effectively utilize pre-accession and European funds.

As our colleagues from Romania and other European Union member states have told us, these funds have provided essential support for the development of localities that previously faced low levels of development. They have contributed to the modernization of infrastructure, the improvement of public services, and the reduction of development disparities between communities.

Financial Autonomy or Financial Dependence?

How realistic is genuine financial autonomy for local authorities under the current conditions in the Republic of Moldova, and what specific changes do you consider to be priorities in the fiscal system and the redistribution of resources?

Financial autonomy is one of the most important prerequisites for local public authorities to strengthen their capacities and respond effectively to the needs of the communities they serve.

The economic and institutional analysis carried out as part of the Government’s reform concept shows that many local public administrations have limited own-source revenues and remain highly dependent on financial transfers from the state budget.

Under these circumstances, it is difficult to speak of a high degree of local financial autonomy. This is why administrative, fiscal, and budgetary reforms are needed to create the conditions for sustainable local development.

One of the key priorities is the consolidation of ad ministrative-territorial units through the expansion of their financial capacity, the strengthening of the local tax base, and an increase in the share of own-source revenues. Ultimately, these measures should contribute to stimulating local economic development and creating better conditions for accessing pre-accession funds, European funds, and other investment opportunities.

For example, in the field of tourism, the Republic of Moldova has significant potential. We have a picturesque country with many attractive and authentic destinations. I believe that more and more Europeans will be interested in discovering these places, and every locality has something unique to offer—distinct traditions, local characteristics, and experiences that differ from those found elsewhere.

What is important is that financial resources are aligned with the responsibilities and capacities of local public administrations. Voluntary amalgamation and other forms of inter-municipal cooperation contribute to this objective by helping localities become more economically viable and better equipped to manage public resources effectively.

In our view, financial autonomy means giving local public administrations the ability to plan their resources strategically, attract investment, and respond more effectively to the needs of the communities they serve—the villages and towns under their administration.

The Need for Broad Consensus

Almost all participants in the debate organized by the Friedrich Ebert Foundation in partnership with the School of Public Administration of Moldova State University emphasized the need for broad political consensus to ensure that the reform becomes irreversible. What compromises do you consider possible, and where do you see the red lines of your own reform concept?

That is a very good question. First and foremost, public administration reform requires political continuity, institutional dialogue, and public support in order to deliver lasting results and succeed in the long term.

For this reason, we believe that broad political consensus is one of the key conditions for the success of the reform. At the same time, it is important that the current government, which has taken ownership of this complex and by no means easy reform, is able to continue its course. Naturally, there is always room for compromise and adjustments across different dimensions of the reform. We remain open to dialogue with all partners and political parties that participated in the event and that, alongside the Government’s concept, presented three additional visions for local public administration reform.

At the same time, we must understand that the reform needs to preserve the fundamental principles on which it was built, and these are very clear. First, the European orientation of the reform process. Second, strengthening the capacities of public administration and enhancing local self-government, not only from a financial perspective but also from an institutional and administrative one. Equally important is ensuring that responsibilities are matched with adequate resources and that citizens benefit from better public services.

It does not matter where a citizen lives—whether in the north or the south, in Giurgiulești or Unguri. People need the same basic conditions: good roads, access to water, and quality public services. We are not talking about luxury standards, but rather about the necessary and reasonable standards expected in a country that is progressing toward membership in the European Union.

We believe that this reform must be built exclusively through dialogue and partnership. This is precisely why we maintain continuous discussions with local authorities, conduct outreach across the country, and work closely with groups of municipalities that have adopted decisions on voluntary amalgamation. To date, more than 65 municipalities have become involved in this process.

We engage with development partners, citizens, and locally elected representatives. A sustainable reform must be built, above all, on trust, predictability, and tangible results for communities.

The strongest argument for continuing the reform is that its benefits must be felt directly by citizens. It is evident that these effects will not materialize over night, as a broad and complex reform such as local public administration reform produces results over time, typically within a period of three to five years.

At the end of this process, local administrations will be more efficient, better prepared, and closer to the people they serve. At the same time, they will create new opportunities for the economic and social development of communities across the Republic of Moldova.

Thank you!

Mădălin Necșuțu
2026-06-13 07:28:00

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