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Growth continues but some turbulence ahead
Most of Central European companies reported dynamic growth in 2007. Region has been minimally affected by the economic slowdown in developed countries
It has been four years since Central Europe’s largest economies joined the European Union. Two more Central European countries became members in 2007 and the remaining states are in the queue. The economies of the ‘New Europe’, which were once behind the ‘Iron Curtain’, are integrating dynamically with the ‘Old Europe’ and gradually preparing to convert their currencies to the euro. What is even more noteworthy, they have become motors of growth in the EU, especially during the recent crisis in financial markets and the slow down in the euro zone.
How are these countries coping with the new political and economic realities, how are the various industries in the region developing and what are the challenges facing investors and managers of the leading Central European companies, banks and insurers? A comparison of the financial situation of the 500 largest companies and financial institutions in Central Europe is one of the tools for assessing trends in the region and the state of its economy. This year, we are focusing on the growth strategies the biggest companies in the region are following, how they are coping with the rising input costs, the appreciation of local currencies and the ever more scarce and costly labour force, which, not so long ago, was a resource significantly cheaper and more accessible than in Western Europe.
Solid Growth
As in 2006, most Central European companies reported dynamic...
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