Growth across Emerging Europe has continued to slow in recent months and is likely to remain extremely weak in 2013. Official data suggest that the region grew by less than 2% y/y in the third quarter and our own GDP tracker suggests that the pace of expansion may now have dropped to 1% y/y or so. The Czech and Hungarian economies are still stuck in recession, while even the region’s better performers – Russia, Poland and Slovakia – are now suffering.
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