Years of consumption-fuelled growth have left Central European states with large retail sectors that are now facing a coronavirus-related slump. It’s set to get even worse once the initial urge to stockpile wears off.
Development bank looks at the resilience of states in the region to falling commodity prices, value chain disruption, declines in tourism and domestic disruption.
From enabling their employees to work from home to offering new e-commerce services, companies in Central and Southeast Europe are moving their operations online in response to the coronavirus pandemic and associated lockdowns.
No one knows if there will be a summer tourism season at all in 2020, which is bad news for the countries that generate around a quarter of their GDP from the sector.
Economic consultancy Capital Economics has slashed its growth forecast for the Central and Eastern Europe (CEE) to a 2% y/y contractions from the previous 2.3% expansion in 2020, as a result of the coronavirus.
The pandemic is expected to push Baltic GDP growth below zero this year, an effect of choked domestic demand and spillovers from abroad.
Convergence to be reversed as the economic crisis resulting from the coronavirus pandemic is set to be deeper and longer in the CIS, Ukraine, Turkey and the Western Balkans than in the EU member states of Central and Southeast Europe.
Vienna-based think tank expects the coronavirus pandemic to result in the worst year for the region since the global financial crisis.
The outbreak of the coronavirus epidemic could shave up to 1pp off economic growth in the Baltic states, according to analysis from Swedbank.
More than 100 years since International Women’s Day was declared a national holiday in post-revolutionary Russia, a new survey from the UNDP reveals gender bias is still widespread across the region.