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Poland-Ukraine dispute, Romania's fiscal reforms

Poland’s announcement this week that it would no longer supply weapons to Ukraine doesn't pose an immediate threat to Ukraine’s war effort, but cracks in support are clearly emerging across the region. Elsewhere, Romania’s government published a highly anticipated fiscal package, which aims to reduce the budget deficit by 1.3% of GDP next year. This is a much-needed step in the right direction, but we've long argued that fundamental reforms are still needed to tackle Romania's large twin deficits.

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