Romania's centrist President Klaus Iohannis, who is seen by the West as an anti-graft supporter, won the presidential runoff and will remain in office for another five years, according to official results .

Iohannis defeated his competitor, opposition Social Democrat leader and former prime minister Viorica Dancila.

This is Iohannis' second and last mandate because the president is not allowed to stand for re-election after serving two terms in office in Romania. 

The presidential election took place amid European Union concern over what it says is the country's backsliding in the fight against corruption and reform of the justice system.  

The election happened just weeks after a minority government was installed, amid an ongoing political crisis. 

Over the past three years, Romania has had four prime ministers and witnessed large anti-corruption protests.  

The rule of law faces serious challenges in Romania, one of the EU's most corrupt members, according to the Council of Europe.  

What is the president's role in Romania?  

In the country's semi-presidential system, the president is in charge of defense and foreign policy.

The role has limited domestic powers, but they can veto laws adopted by parliament by challenging them in the constitutional court or by sending them back to be reconsidered.  

They can reject party nominees for the role of prime minister and government nominees for judicial appointments. 

The president is the head of state, while the prime minister is the head of government.  

In recent years, the presidential role has been perceived by Romanians as a driving force in tackling state corruption.  

The president's ambitions

Iohannis' victory is seen as representative for a young, educated, well-traveled generation. 

He is regarded as a pro-Europe leader. He says he wants to continue the fight against corruption, lead a "normal" Romania and guarantee an independent judicial system.  

He pledges to strengthen relations with the EU, NATO and the US and increase the American military presence in Romania, with the Trump administration viewing Romania as "a particularly important ally." 

Iohannis, an ethnic German, was the mayor of the Transylvanian city of Sibiu before winning his first mandate. 

He is a former leader of the National Liberal Party (PNL), which formed a minority government led by Prime Minister Ludovic Orban at the beginning of this month. 

During his first term, Iohannis, backed by the center-right PNL, clashed with the former left-wing PSD government, which collapsed last month, over its judicial reforms.   

Iohannis has challenged the former ruling party PSD's efforts to overhaul the judiciary and to limit magistrates' independence. 

In May, Iohannis spearheaded a national referendum in which an overwhelming majority of Romanians said they wanted the government to be banned from altering legislation via emergency decrees, and advocated a national ban on granting amnesties and pardons for graft-related crimes. 

The non-binding referendum was supported by 80 percent of voters. It effectively aimed to pressure the government at the time into stopping its efforts to water down anti-corruption measures. 

What has been going on in Romania lately?

Romania has changed dramatically in the 30 years since 1989. It joined The North Atlantic Treaty Organisation (NATO) in 2004 and the EU in 2007.  

But the country has been struggling to contain its state budget deficit, which is projected to reach 4.4 percent of GDP next year, well above the EU limit of 3 percent. Poverty is also widespread. According to a World Bank study last year, more than 25 percent of Romania's people live on less than $5.50 a day. 

Its justice system remains under special monitoring due to long-running concerns over the rule of law and corruption. 

The European Commission criticized Romania last month for failing to implement anti-corruption measures.   

According to the Commission's latest report under the Cooperation and Verification Mechanism (CVM): "The key institutions of Romania need to collectively demonstrate a strong commitment to judicial independence and the fight against corruption, and to ensure the effectiveness of national safeguards and checks and balances." 

The fight against corruption remains high on the public agenda. Tens of thousands of Romanians took part in a wave of protests across the country two years ago against the government's efforts to water down anti-corruption measures.   

The legislation, which was eventually halted amid pressure from protesters, was aimed at making it hard to prosecute high-level corruption, according to critics.

The EU has repeatedly called on Romania not to dilute efforts to fight high-level corruption.  

Further protests erupted over state corruption and efforts to undermine the judiciary. A key moment came in July 2018, when Laura Codruta Kovesi, the head of Romania's anti-corruption agency, was fired.  

She was removed by the then-governing Social Democrats, an act many in Romania believe was political retaliation for her department's successes. 

The judiciary's independence is another hot topic in Romania. In recent years, the country has tackled some of its high-profile corrupt politicians, who were sent to prison.  

In May, arguably the country's most powerful politician, Liviu Dragnea, was sentenced to three-and-a-half years in prison for official misconduct in a graft case.  

The EU is expected to keep up pressure on Romania to strengthen the rule of law and its anti-corruption legal framework and judicial independence.

Parliamentary elections are scheduled for late 2020. Iohannis' victory is a positive sign for the Liberal Party which is hoping to win the parliamentary elections and form a coalition government.