CEE Outlook 2021: Vaccination & pro-cyclical policies, positive impact in H2

21 Jan 2021 09:28

The speed of vaccination and the success in dealing with the fallout of the crisis will shape 2021. We foresee a decent economic recovery in CEE in 2021, but this will be felt rather in H2 2021. For most CE/SEE countries the lower level of consumption and services (in % of GDP) should be a stabilizing factor now, while strong links with the European trade hub Germany shall support the recovery. The same holds true for more pro-cyclical economic policies than in previous crisis.

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Wide Angle Shot: BTC - a rational bubble or more?

20 Jan 2021 10:39

Diffuse inflation fears coupled with low interest rates have recently provided an optimal breeding ground for rising bitcoin prices. While recent price trends have led to talk of the "mother of all asset bubbles", there still seem to be plenty of buyers. Is the economic policy environment really in favour of cryptocurrencies? What is driving the prices so much? And what about the risks?

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Martin Kocher - politically more independent labour minister

11 Jan 2021 09:35

A non-party expert becomes Labour Minister in Austria's government. That is remarkable in itself and his expertise could extend far beyond his area of competence into other ministries, such as finance, economy, infrastructure and social affairs. He stands for constructive ideas and market-based solutions. His biggest challenges in 2021 are the regulation of short-time work, unemployment benefits and long-term unemployment.

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Wide Angle Shot: 2021 Perspectives

01 Jan 2021 04:30

2021 begins across Europe with drastic restrictions. COVID-19 infection rates, lockdowns, feared waves of insolvencies ... many factors weigh on the start of the year. But with the prospect of an effective vaccination, the global economy should recover noticeably in the course of the year. A trend that should continue in 2022. With an extremely accommodative fiscal and monetary policy, the economic cycle and the financial markets are getting a tailwind. But the risky stock markets in particular have already anticipated a lot of positive news.

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Austria as lockdown routiniser, industry as stabiliser

01 Jan 2021 04:20

A few days ago, an extraordinary year for Austria came to an end, not least in economic terms. A year that no one had expected in this way. The year 2020 ended in what is now the third lockdown, "shutdowns" of entire economic sectors have become routine. In addition to the review of the Corona year 2020 for the Austrian economy, the question arises as to what can be expected for the year that has just begun and this against the backdrop of tourism, but also the strong industrial focus and the intensive trade relations with Germany plus Central and Eastern Europe. After all, these are the unique selling points of the Austrian economy.

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