The view that Emerging Europe is not as vulnerable to an external financing crisis as in 2008/09 appears misplaced. Although current account deficits have, in most cases, narrowed sharply, total external financing requirements (including external debt obligations) are high. If the euro-zone debt crisis takes a turn for the worse and develops into a banking crisis, growth in Emerging Europe will be hit severely.
Become a client to read more
This is premium content that requires an active Capital Economics subscription to view.
Already have an account?
You may already have access to this premium content as part of a paid subscription.
Sign in to read the content in full or get details of how you can access it
Register for free
Sign up for a free account to:
- Unlock additional content
- Register for Capital Economics events
- Receive email updates and economist-curated newsletters
- Request a free trial of our services