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Bulletin of Central and Eastern Europe: Accession of Baltic countries to the euro area, Łukasz Białek

Despite a decrease in the economic growth of Central and Eastern Europe (CEE) countries, the second half of the last year presented prospects for the reversal of the region's downward trend in 2014, mainly through the improvement of consumption following a decrease of interest rates. Moreover, in the second half of 2013 and the year 2014 the region's economy is expected to pick up due to the improved situation in the euro area. The main cause of the economic slowdown in CEE was the deepening crisis of the euro area in 2012, the continued consolidation of public finances and the debt adjustment of the private sector. What is important, reports indicate a small improvement of export dynamics in the Baltic countries which compensated for the weakening euro area export with increased export to former USRR countries.