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The NME Status of the Republic of Moldova and the Market Economy Status of Ukraine and Russia: A Political Decision of the European Union and Its Implications within the WTO Legal Framework

This paper addresses the treatment of the Republic of Moldova as a Non-market Economy (NME) country. When compared to the Market Economies of Russia and Ukraine, according to comparative data provided by the Heritage Foundation, Index of Economic Freedom 2009, the Republic of Moldova ranks much higher than these countries. In the view of the European Union, Moldova is considered to be an NME but questions remain as to whether the granting of Market Economy status by the Commission is rather more political than based on economic performance. Using various comparative data, this paper clarifies the political reasons for Russian and Ukraine Market Economy status and explains the possible political motives behind Moldova’s NME status.