Romania’s political crisis centers on Prime Minister Ilie Bolojan’s caretaker status following the May 5, 2026, no-confidence vote that ended his pro-EU coalition government. The Social Democratic Party’s April withdrawal from the coalition and alliance with opposition parties triggered the decisive parliamentary motion, leaving Bolojan with limited powers until parliament approves a successor. Subsequent attempts to install a new prime minister, including a technocratic mandate and later nominations, have stalled amid parliamentary fragmentation and coalition negotiations. Traders monitor these stalled formation efforts, scheduled parliamentary votes, and any new majority agreements, as resolution hinges on when a replacement cabinet secures approval and ends the interim period.