CEE Countries Must Work Upon Economic Convergence

Central- & Eastern EuropeWestern Balkans ♦ Published: October 5, 2012; 14:49 ♦ (Vindobona)

CEE countries are struggling with weaker external demand and uncertain consumers, whereas in most cases fiscal policy is under control. Labour productivity, costs and competitiveness of CEE region give reason for optimism.

CEE Countries Must Work Upon Economic Convergence / Picture: © Vindobona.org

The past couple of quarters unmistakably reminded CEE countries of the fact, that the postcrisis growth path is neither smooth nor guaranteed. Trade and financial linkages with the EMU act as a drag and though this should improve from here, the path will at best be gradual. That is one of the key findings from the current issue of “CEE Quarterly” published by UniCredit´s Economics…