Romania most exposed CEE country to a prolonged Middle East war, Erste says
Romania is the most exposed country in Central and Eastern Europe (CEE) to the consequences of the war in the Middle East, according to a report by the Austrian banking group Erste, present in Romania through major bank BCR. Its…
Radu Dumitrescu · Journalist
· Updated · 2 min read
Romania is the most exposed country in Central and Eastern Europe (CEE) to the consequences of the war in the Middle East, according to a report by the Austrian banking group Erste, present in Romania through major bank BCR. Its vulnerability partly stems from its bloated public deficit and the measures taken to lower it.
In a pessimistic scenario, involving an escalation of the conflict or a prolonged blockade in the Hormuz Strait, Romania faces the risk of recession. As a result, the bank downgraded Romania’s growth forecast to 0.3%, from 1% previously.
