Banks have posted robust profits for the last three years, and balance sheets have improved as banks gradually settle their bad loan issues.
Albania’s exports grew by a robust 14.2% y/y in October, but still remain less than half of imports.
Unemployment is still "staggeringly high" in the region and one of its governments' main policy challenges despite the creation of 230,000 new jobs this year, World Bank says.
Rise in FDI was driven by inter-company lending, while "genuine" FDI by new investors was smaller.
Revival spurred by resolution of banking sector problems, successful reduction of inflation and recent political stabilisation.
Economy expanded by 8.8% y/y in Q3, most likely driven by the services sector fuelled by the robust domestic demand for consumption.
Inflation driven by recent price rises for clothing, utilities and healthcare, offsetting fall in costs of communications and food.
High levels of NPLs, inadequate bankruptcy procedures and insufficient funding constrain credit growth in the six Western Balkan countries at times when credit is most needed.
Central bank expects price growth to decelerate in the coming quarters but this is optimistic given the need for an upward revision in regulated prices including utility prices.
Economic growth in Croatia is set to continue for the rest of 2017 according to the European Commission
The food and non-alcoholic beverage group rose 4% y/y and was the main contributor to the annual CPI rise
The assets of commercial banks in Bosnia & Herzegovina now account for 86.4% of Bosnia’s projected GDP
The latest projections predict Macedonia's inflation rate will reach 2% in 2018 indicating that the environment of stable prices will be maintained.
At 7% y/y growth in September was the lowest this year but the sector is likely to keep expanding thanks to higher salaries and the higher employment rate projected for the coming months.
Aside from their reforming zeal, the top performers from the CEE/CIS region on the World Bank’s latest Doing Business index have another thing in common: they all have populations of under 4mn.
The volume of new loans extended by Romanian banks in Q3 hit €4.38bn, a massive 14.8% y/y increase as mortgage lending rallied.
Turkey’s home price growth in August measures 11.31% y/y, short of the 11.61% y/y recorded for July.
Turkey’s business confidence index deteriorated in October after posting gains in the previous two months.
Romania is the EU's fastest growing economy but a new survey shows political instability and policy u-turns have caused foreign investors' confidence in the business environment to deteriorate.
Growth has accelerated since April helped by the decline in NPLs as local currency lending remains particularly active.