Thanks to the far-reaching reduction of taxes, Romania has a chance to become a new regional power, able to attract foreign investors. However, the unresolved problem of corruption at a level unprecedented in the European Union could spoil even the most favorable economic solutions.
The EU cannot leave Ukraine alone and stop pushing for further reforms, because Kiev has already wasted a lot of time. There has been no breakthrough, says Gustav Gressel, an analyst at the European Council on Foreign Relations.
Belarus urgently needs a loan to meet its obligations. It is counting on aid from the International Monetary Fund (IMF). In September, experts from the IMF made a review of the reforms implemented by Minsk.
When the leaders of the EU states decided to extend economic sanctions imposed on Russia by another half a year, Polish producers received this news calmly.
Poland loses its allies in the fight against Nord Stream2 thus new investments in gas infrastructures has gained urgency.
After a few years of slow but stable growth Belarus is in recession.
Low oil prices have sent Russia’s economy into a recession, and countries on its periphery are being dragged along for the ride as the slump affects both oil exporters and countries that rely on trade and aid from Russia.
Prime Minister Arseniy Yatsenyuk is considering entering the path of a trade war with Russia, as it opposes the trade part of the EU-Ukraine Association Agreement which was initially supposed to become effective a year ago.
Protests about a deadly nightclub fire have changed Romania’s government but didn’t changed the corrupted system.
Lithuania, Latvia and Estonia suffered heavily in the global economic crisis. However, they have been able to deal with their problems, and the sanctions imposed against Russia have not affected their economies too much – this is also visible in the Doing Business 2016 report.