Italian banking giant UniCredit has revised its growth forecast for the Central and Eastern Europe (CEE) region, anticipating 2.3 percent growth for 2010 instead of just 1.4 percent.
The upgrade was due largely to a better outlook for Turkey and Russia, a report by the bank said, although several smaller countries would still experience recession in 2010.
“CEE recovery is underway,” the report said, “but growth differentiation will remain relatively strong in 2010.”
Further predictions included a “moderate underperformance” for Poland in 2011, as well as Turkey’s central bank being the first to increase interest rates in 2010.
Hungary, Romania, Bulgaria and the Baltic states were expected to have most difficulty in 2010.