Eastern European Countries and Austria | Bilateral Relations

Austria and Eastern European countries - Latest headlines about bilateral relations in the areas of economy, business, diplomacy, culture and tourism

Fitch Downgrades Slovenian Banks

The U.S. rating agency downgrades the lown-term ratings of major Slovenian banks. The outlook is negative for all of them.

August 10, 2012

East European Banking Industry Shows Ambiguity

For West European banks, their subsidiaries in Eastern Europe are either highly problematic or the cash cows.

August 8, 2012

OMV to Focus on Gas Business

The Austrian oil and gas company intends to exploit natural gas in proximity to Europe. The Black Sea and the North Sea are the strategically most important areas.

August 8, 2012

Fitch Downgrades Slovenia

The Southern neighbor country of Austria was downgraded to “A-“. The outlook is negative now.

August 8, 2012

Croatia: Crisis Sharpens

The Croatian recession seems to continue. Consumption falls further, unemployment continues to rise.

August 7, 2012

Hungary: Most Foreign Firms from Austria

In Hungary, foreign companies employ 25% of the workforce. However, the share of foreign companies only reaches 3.3%

August 7, 2012

MTC Invests € 25m in Romania

The Montana Tech Components AG industrial group will invest € 25m to expand the production facilities of their Romanian subsidiary, UACE (Universal Alloy Corporation Europe SRL).

August 7, 2012

Again Downgrades in Slovenian Banking Sector

Last week, Moody´s downgraded big Slovenian banks. Now, S&P puts the domestic banking industry under even more pressure.

August 6, 2012

Serbia: Struggle for Central Bank Sharpens

After the resignation of governor Dejan Soskic, the EU warns Serbia of abolishing the independence of the Serbian Central Bank.

August 6, 2012

Slovakia: Rating Confirmed by S&P

The U.S. rating agency Standard & Poor´s reiterates Slovakia´s A/A-1 rating. The outlook is is still „stable“. Slovakia´s labor market data are less promising, however.

August 6, 2012

Polish Business Service Sector Booming

In 2011, 38 new business service centers were established in Poland. The number of employees doubled since 2009.

August 4, 2012

Polish Industrial Sector Shrinks

Last month, the Polish purchase manager index could recover. Nevertheless, there is no tendency of growth yet.

August 3, 2012

Moody´s Downgrades Slovenia

Today, the U.S. rating agency has downgraded the Western Balkan country by three notches to „Baa2“ from „A2“.

August 3, 2012

Budget Crisis: Serbia to Reduce Foreign Exchange Reserves

In order to mend Serbia´s budget hole, the government plans to amend the Central Bank law.

August 2, 2012

Czech Republic: Erste Group´s CEO Advises Against Introducing the Euro

According to Andreas Treichl, the Czech Republic should not enter the Eurozone now.

August 2, 2012

Hungary: Slow Progress in Talks with IMF

The negotiations with IMF about a € 15bn loan will be resumed in September. According to economists, a final agreement is highly uncertain.

August 1, 2012

Erste Group: Concerns Despite Profits

Yesterday, the Austrian banking group published its results for the first half year. The business in Romania, Hungary and Ukraine causes worries.

August 1, 2012

Proceedings Against Bulgarian Subsidiary of OMV Stopped

The Bulgarian Competition Authority KZK stopped investigations against OMV Bulgaria, Rompetrol, Lukoil and Naftex Petrol. The companies were suspected of price fixing.

August 1, 2012

VIG Streamlines its Market Presence in Poland

Vienna Insurance Group announced that the merger of InterRisk and PZM is completed.

August 1, 2012

Slovenian Abanka Vipa Needs Fresh Capital

The third-biggest Slovenian bank needs a capital injection of € 50m. In total, Abanka Vipa has a risky assets of € 600m.

July 31, 2012

CESEE: Still High Degree of Corruption

According to Transparency International, „political influence over independent institutions is a systemic corruption risk in the Czech Republic, Hungary, Poland and Slovakia“.

July 31, 2012

Bankruptcy Prevented: Schlecker Austria Becomes „daily“

The Austrian investment funds TAP 09 acquires the financially stricken chemist chain. Schlecker Austria should become a local grocer.

July 31, 2012

Erste Group Burdened by Losses in Eastern Europe

Despite losses in Romania, Hungary and Ukraine, Erste Group posts a net profit of € 453.6m in first half of 2012.

July 31, 2012

Banking Industry: Slower Growth Expected

Due to the weak results in Eastern Europe, the Austrian banking industry faces only decent net income figures in the second quarter of 2012.

July 30, 2012

Slovenian Banking Crisis Aggravates

This week, the rating agency Moody´s downgrades the three biggest banks of Slovenia. Slovenia is threatened of becoming a bail-out candidate.

July 27, 2012

Croatian Bridge Construction Project: Strabag Withdraws

The biggest Austrian construction group withdraws from the € 20m contract.

July 27, 2012

New Hope for Nabucco West

The Aseri Minister of Energy Natik Aliyev thinks that Nabucco West would be better than the rival project TAP.

July 27, 2012

Ukraine Emitted Eurobonds of USD 2 Billion

This Eurobond emission has been the largest in Ukraine ever. The Ministry of Finance has leveraged capital markets current developments thus ensuring that 260 investors’ final order volume constitutes USD 5.8 billion.

July 26, 2012

Hungary: Real Income Shrinks

The Hungarian economy faces a substantial recession this year. Despite growing gross incomes, real income decreased by 4% last year.

July 25, 2012

Poland as CESEE´s Locomotive

This year, the CESEE region should record a growth rate of 1.7%. However, the situation is highly different.

July 25, 2012

Insolvencies in CESEE on the Rise

In 2011, the number of business insolvencies rose by 25% in the CESEE region. Hungary ranks first.

July 25, 2012

Rising Serbian Budget Deficit Causes Worries

This year, Serbia has to borrow € 4.2bn. A budget deficit of € 300m is forecasted in 2012.

July 24, 2012

Aiginger: „Feeding Banks Makes No Sense“

The director of WIFO (Austrian Institute of Economic Research) thinks that Spanish banks must be able to become insolvent.

July 24, 2012

IMF: Doubt on Hungary´s Economic Data

For the IMF, the budgetary forecasts are too optimistic. The negotiations on the € 15bn loan continue.

July 23, 2012

Austrian-Bulgarian Economic Forum

The event takes place on September 18, 2012 at the Austrian Federal Economic Chamber, Vienna.

July 23, 2012

Slovakia: Bank Tax Should Reach € 1.0bn

The Slovakian government raised the bank tax up to 0.4% on deposits. Once the tax intake totals € 1.0bn, the tax should be abolished.

July 21, 2012

RBI: Bad Development in Hungary

Herbert Stepic, CEO of Raiffeisen Bank International expects that the development of non-performing loans is stable this year.

July 21, 2012

Slovenia in Financial Distress

In order to prevent becoming a bail-out candidate, the Slovenian government aims to resolve a „debt brake“. It turns out that this goal is highly uncertain.

July 21, 2012

Hypo Group: „As Little Bank Aids as Possible“

Hypo Group Alpe Adria´s CEO Gottwald is unhappy with reports that the state-owned bank may need further bank aids.

July 20, 2012

OMV: Libyan Output at Pre-War Level

The Austrian oil company could increase its oil production in the second quarter. OMV has to register extraordinary expenses of € 170m.

July 20, 2012

Vienna Insurance Group: Still Growth Potential in CESEE

VIG´s new CEO Peter Hagen aims to achieve external as well as internal growth. The process of catching up will go on.

July 20, 2012

OMV: No Withdrawal from Germany

The Austrian oil company and petrol station operator will not sell the petrol station business in Germany. By contrast, the downsizing program in the SEE region and in the Czech Republic will be continued.

July 19, 2012

Takeover of Croatian Aluflex Failed

The Austrian Hypo Group Alpe Adria will not sell the Croatian aluminum group to the Swiss MTC (Montana Tech Components).

July 19, 2012

Slight Growth in Ukrainian Financial Industry, Uncertainty Remains

According to Austrian RCB (Raiffeisen Centrobank), the lending activity remains subdued amid looming economic uncertainty. Deposit growth resumed in June both in corporate and retail segments.

July 19, 2012

Slovenian Banking Industry „One of the most Burdened in CEE Region“

About 11.5% of total loans are non-performing. Slovenia is one of the few countries suffering a crunch, RCB states.

July 18, 2012

Erste Group Enters Bulgarian Property Market

Todor Alexandrov Offices in Sofia developed by Erste Group Immorent AG are ready for occupation.

July 18, 2012

Ukraine Shows Stable Economic Performance

After a major depression in 2009, the Ukrainian economy grows steadily. However, in June, industrial output fell slightly, Austrian RCB analyzes.

July 18, 2012

Kapsch CarrierCom Acquires Remaining Shares in Croatian TIS

With the acquisition of the remaining shares in the Croatian subsidiary Kapsch TIS d.o.o., Kapsch CarrierCom is further expanding its involvement in South-Eastern Europe.

July 18, 2012

„IMF Is Not Our Enemy“

Hungary´s Prime Minister Viktor Orban returns to the bargaining table. The country needs up to € 20bn.

July 17, 2012

Bail-Outs: Is Slovenia Next?

The Slovenian banking industry becomes an increasing problem for Austria´s Southern neighbour. Non-performing loans may total up to € 6.0bn.

July 17, 2012