Growth in Eastern Europe: Hope despite Trump and Putin!

Growth in Eastern Europe: Hope despite Trump and Putin!

The current economic developments in Eastern Europe show promising growth forecasts for 2025, even if UncertaAnty remains about the political situation in the region. According to the winter forecast of the Vienna Institute for International Economic Comparative (WiiW), an average of 2.8 % is expected for the EU member states in the region. However, Richard Grieveson, deputy director of the Wiiw, has emphasized that this growth is bound to various factors, especially to Donald Trump's policy and the war in Ukraine. "Should Trump High Customs Put on the EU or enable Putin of Ukraine a decisive defeat, the negative effects for the Eastern European Member States could be significant," warns Grieveson, as is also emphasized in his conversation with the "press".

The economic prospects are particularly dependent on private consumption trends in countries such as Poland and Croatia, which are grown up robust due to real wage increases. "People also spend the additional income available, which makes the economy attract," said Grieveson. In contrast, countries such as Austria, where growth could stagnate, are fighting due to the braking effect of the German recession. In another conversation, Grieveson explains that despite the challenges of the German economy, Eastern European countries remain strong and are partly characterized by the fact that they grow significantly faster than the euro zone. This dynamic helps Austria indirectly because Eastern Europe is a significant part of its foreign trade.

growing uncertainties

The situation in Russia also raises questions. While the economy has been inspired by military spending in recent years, Wiiw predicts a greatly reduced growth of only 1.8 %for 2025. Vasily Astrov, Russia expert of the WiiW, warns of a threatening bankruptcy wave to companies that can no longer serve their loans. "The high government spending on the war is a dependency that the Russian economy could transform," said Astrov. Furthermore, the new US sanctions against important oil companies could continue to burden the already tense economic conditions in Russia.

The influential role of the United States in the geopolitical situation and energy prices remains another crucial point for the economic prospects in the entire region. Ukraine is also faced with challenging forecasts, since the influence of US politics and the persistent conflict with Russia endangers economic stability. A strong growth of 3 % is projected for 2025, but this represents a revision down compared to previous forecasts. The developments in Ukraine could have far -reaching consequences for the entire region, as Grieveson drives up.

These forecasts illustrate how complex the economic landscape in Eastern Europe is and how closely it is linked to developments in US politics and the war in Ukraine. In order to further find out more, the complete winter forecast of the Wiiw and the associated press conference on the website can be read, as in a report of the press . It remains to be seen how the geopolitical tensions will affect these growth prospects, while the countries in the region are also trying to play their strengths.