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Emerging Europe Weekly: German stimulus spillovers, Ukraine aid pause

The prospective fiscal stimulus announced in Germany this week could provide some support to nearby trade dependent economies in Central and Eastern Europe. But with a large part of the spending focusing on defence, the stimulus is by no means a game changer for the region. Meanwhile, the decision by the Trump administration to suspend military aid to Ukraine has further reduced Zelensky’s negotiating position ahead of talks with the US next week.

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