CEE’s energy crisis: looking beyond this winter

The energy crisis in Central and Eastern Europe has lost some of its bite as natural gas prices have slumped and countries have made good progress in replacing Russian energy supplies. This has brightened the near-term outlook and reduced the risk of gas shortages next winter, but the energy crisis will continue to have an impact for years as countries overhaul their energy infrastructure and address energy security. Croatia, Romania and Poland are in a good position to adapt, but the transition away from Russian energy will be more challenging in Central Europe and may weigh more heavily on growth potential there.