FDI
Acute political instability, risk of insolvency and lack of political transparency with misuse of funds and electoral fraud are the crucial risk factors that could hinder economic recovery in Romania....
Political corruption, misuse of public resources, sluggish and incompetent administration, an ineffective judicial system are the most important risk factors that could delay Bulgaria’s recovery....
The decision of the Fidesz-led municipal government to unilaterally terminate a contract with French Suez Environnement, minority owner of the municipal water works in Pécs raise political risks....
There were some signs that the Romanian economy has finally reached the bottom of the recession, but the majority of the news was still very negative. The coalition break-up also fuels fears....
Foreign investment in Macedonia fell 50% Jan-May 2009 y-o-y. This trend adds weight and pressure to the criticisms against PM Gruevski’s government that it cannot handle the crisis well....
Poland continues to be the most mildly affected economy in the region by the crisis, although the government’s attempts to plug the holes in the budget could sharpen the political conflicts....
Romania and the IMF amended the loan deal to allow for a larger budget deficit. However, the intensifying campaign before the upcoming presidential elections can further delay stabilizing measures....
The results of the European Elections in Bulgaria showed that the governing parties still hold majority of the votes, but not enough for a majority after the July elections. FDI saw a 50% decline YoY....
Starting EU accession talks, visa regime liberalization and decentralization in IPA funds management are the three priorities of Macedonia....
FDI saw a 13.9% drop in the first trimester of 2009 in Romania. As previously expected, after the first quarter the country’s economy took a steep downward direction....
The so called “EPP format” consisting of CEDB, UDF and DSB appears to be an ineffective form of oppositional cooperation....
Internal conflict between the circles of Bulgarian Socialist Party has intensified with the National Congress approaching....
In August public interest in politics is very low. This eased the political pressure by the opposition, calmed down the public discontent towards the government....
The Apollo-affair and the attacks against Hankook reveal the contradictions in the political strategy of Fidesz: the conflict between the opposition position and the pre-government position....
The commemoration of the establishment of the socialist party last week seems to have suppressed the internal conflicts. The parliamentary vacation also brought about the political peace....
The cabinet of Sergei Stanishev (BSP) survived the 6th vote of no confidence. The opposition failed because the governing coalition has 150 votes in the 240 seat parliament....
The US subprime crisis will substantially reduce economic growth in the US and in Europe. As a result, Hungarian exports will likely decline and reduce the chances of a healthy economic growth....