The beginning of 2017 has seen some impressive growth in the eastern economies of the European Union. These countries have benefited from development money and an increase in demand in the Eurozone economies has helped too.
The leading economy is definitely Romania, their growth has risen to nearly 6% more than forecasted.The Polish economy, the largest economy in the Eastern sector of the EU grew by 4%.Even the slowest performing Eastern economy – the Czech Republic posted growth figures of 2.9% still outpacing the Euro area.
Much of the increased activity can be predicted from a growth in construction which has increased across Europe.Although this has been created by a improvement in the economic conditions across the Eurozone.
These former socialist nations are in some senses rising the growth of their western neighbours. The relative weaknesses in their economies are more easily stimulated by demand across the Eurozone.Even unemployment which has often been the problem for these nations has fallen to record lows. Hungary’s currency in particular and the other Eastern European currencies are all performing strongly. There is a sense of optimism in these countries not seen before, you can see by investing in a VPN or Smart DNS service and watching their local TV and radio broadcasts online.
The growth figures are impressive almost across the board, places like Hungary and Bulgaria have exceed all forecasts in their growth. Some of the growth is not entirely unexpected, the previous years had seen cutbacks in public investment in many of these countries. There had been much pressure to get rid of these reductions and for Governments to start investing more – it seems that resulted in increased growth.The predictions for the developing European nations look good too, the IMF forecast that Eastern European countries will grow double the rate of the developed Euro countries.
Although the Western countries are lagging behind their Eastern neighbours these figures represent great news for all the EU nations. The investment and development funds which have been spent in these countries was intended to advance their economies quickly. It was a long term strategy for the EU designed to build strength across the member nations, investing in the developing nations has not always been popular. In places like France, Italy and the UK there was some resentment at European money being diverted to these nations in times of struggling.