The market sell-off triggered by the UK’s vote to leave the EU has reversed, but there is still uncertainty about what a post-Brexit Europe will look like and in the meantime signs of strain are appearing in other parts of the continent’s financial system (e.g. Italian banks). So far there’s little sign that this is spreading to Central and Eastern Europe (CEE). However, these secondary effects have the potential to be more damaging to the region than Brexit itself. Here’s what to watch for.
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