Growth in Emerging Europe is set to remain sluggish over the next couple of years, due in large part to continued weakness in the region’s largest economy, Russia, and a looming slowdown in the region’s second largest economy, Turkey. However, while Emerging Europe’s two largest economies are likely to struggle, we expect growth elsewhere – notably in Poland – to accelerate. The net result is that while aggregate growth for the region as a whole will remain weak, several economies are likely to see an improvement in performance.
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