South-eastern Europe: lessons learned from the global economic crisis in 2008-10

This paper shows how the crisis has evolved in south-eastern Europe (SEE) and why this region was affected by developments that originated elsewhere. It argues that the impact has been better than many feared and that this resilience can be attributed in large part to the mature and sensible reaction of the region itself. However, the paper notes that recovery is proceeding more slowly than elsewhere in the transition region. It also points to the strong financial support from publicly owned international organizations, and the continued commitment of privately owned foreign companies and banks to the region. The paper concludes that the region is well-placed to take advantage of a future global upturn, but at growth rates that are likely to be subdued compared with those seen in the few years before the crisis.