Blog

Your guide to understanding South East Europe

Joining the euro: the fear of inflation is overdone

Fear of inflation when joining the euro is an everpresent, yet overdone sentiment. Many other factors are in play in determining inflation outcomes but the advent of a new currency tends to mask them.

Does it make sense to offer foreign investors subsidies?

News that VW has delayed a decision on an investment in Turkey has seen promises of subsidies from nations in South East Europe hopeful of becoming alternative investment locations.

What do Frankenstein and referendums have in common?

Referendums are a standard part of developed democracies. Yet, as Brexit shows they can destabilise even the most developed democracies. Referendums cannot become as a vehicle to bypass government and parliament.

Regional differences to become evident as uncertainty in the global economy rises

How will the growing uncertainty surrounding global economic prospects impact on South East Europe? IMELUM’s current Macroeconomic Quarterly provides an in depth look at the risks and opportunities facing the region.

Migration and Eastern Europe. Is the glass half full?

Migration from Eastern Europe to older EU member states is a major political issue. Various complex factors ensure not all countries are equally affected.

Croatia: Long term factors come into play as GDP growth accelerates

Participation in the EU’s single market is driving the integration of local companies into European and global supply chains, gradually increasing absorption of EU is supporting investment, while the reduction in the country’s risk profile has seen a return to investment grade status, thus lowering funding costs for the economy. These are all structural, as opposed to cyclical, reasons for optimism Croatia’s growth potential.

Speed also kills when making investment decisions

China’s Belt and Road Initiative offers a quicker, debt financing path to investments than EU procedures. But EU grants, as long as stringent conditions are met, are a far more sustainable and less risky option for EU member states.

The many ways Brexit will impact South East Europe and beyond

As the Brexit endgame fast approaches, the value of safety in numbers should become evident over time, especially for smaller EU member states.

Croatia and Slovenia: Two natural allies

As neighbouring countries with shared histories, Croatia and Slovenia have much in common. Accession to the EU has deepened these links, which Brexit is likely to strengthen.

How prepared is South East Europe for the next downturn?

The financial crisis of 2008/09 left a large scar on the region. With global economic conditions worsening, how prepared is South East Europe for the next downturn?

Playground logic necessary for successful entry into eurozone

When the big boys fight, smaller boys usually stay away. Strategic goals should not cloud policymakers’ judgement on adopting the euro.

Regional Monetary Policy: It’s all about the Exchange Rate

The exchange rate will remain the primary transmission mechanism of monetary policy in South East Europe as long as households prefer to save in foreign currency.

The most interesting aspects of the World Bank Doing Business 2019 Survey

A detailed look at the World Bank Doing Business 2019 Survey and Croatia’s performance according to the main criteria.

EU poverty indicators: Croatia between Spain and Italy

Insight into the risk of poverty or social exclusion in EU countries from the Eurostat’s Risk of Poverty or Social Exclusion Report.

The end game for Croatia’s shipyards?

Croatia’s shipyards employ far from best available technology. To get there, someone would have invest hundreds of millions of euros.