Russia's CBR cuts key interest rate by decisive 100bp to 4.5%

The board of the Central Bank of Russia (CBR) has resolved to cut the key interest rate by 100bp from 5.5% to 4.5% at the policy meeting of June 19. The cut is four-fold larger than the minimum step of 25bp and was largely anticipated

Russia’s Economy Ministry releases fresh forecasts for 2020 and beyond on June 18.

Russia’s Ministry of Economy has released a fresh forecast for 2019-2022 with no V-shaped recovery but decent results for inflation and unemployment

Albania's retail sales growth turns negative y/y in 1Q20, due to decline of motor fuel sales

Strict lockdown imposed in mid-March saw a shutdown of public transport and movement restrictions, including on using cars.

Ukraine cuts grain harvest forecast by 10mn tonnes to 68mn tonnes

The Ministry for Development of Economy, Trade and Agriculture of Ukraine expects that the grain harvest in Ukraine in 2020 will exceed 68mn tonnes compared with the previous forecast of 65-68 tonnes, Interfax Ukraine reported on June 16.

Turkey’s card payments pick up in first ‘post-lockdown’ week but poll finds most Turks again see economy as biggest problem

Private banks bow to government demand to delay consumer debt repayments. Economic recovery fragile. Tourism revival a struggle as Moody’s downgrades Turkish Airlines.

Russian retail coming back to life, but a full recovery will take longer

The latest Watcom shopping index results, which measures foot traffic in Russia’s biggest malls in real time using 3D camera technology, shows that foot traffic in Moscow has picked up dramatically in the last week.

Spikes in new COVID-19 cases reported in several European emerging market countries

As governments continue to lift lockdowns and travel restrictions across Central, Eastern and Southeast Europe, several countries in the region have reported record-high numbers of new infections in the last few days.

Central and Southeast Europeans have highest tolerance for corruption among EU members

People from the new EU member states that joined from 2004 onwards are more likely to think it is acceptable to do a favour, give a gift or give money to get something from a public administration, shows a new survey from Eurobarometer.

Hungary’s automotive industry output plunges 80% in April on shutdowns

Suzuki, Daimler and Audi closed their Hungarian operations in April. The three companies have a combined 5% share of the country's GDP.

Romania’s wages come to a standstill under lockdown

The average net salary in Romania in April, the first full month of lockdown, decreased by 3.7% compared to March.

Ukraine reports 0.3% m/m inflation in May

Ukraine's inflation fell to 1.7% year on year in May vs. 2.1% y/y in the prior month.

Residential property sector thrived in Romania’s richest regions in Q1

The number of new housing units completed in Q1 reached 12,714 units, 17.3% more than in the same period last year.

Watcom foot traffic index in Moscow, St Petersburg slowly starts recovery as lockdowns come off

Romania’s economy eases to slowest growth in nearly six years

GDP growth slowed to 2.4% y/y in Q1, as domestic demand — the main growth driver — lost momentum.

Turkey fortifies imports wall a little more

38 communiques in Official Gazette change tariff rates on 150 products. Desired fruits of import compression not visible in trade data yet.

No room for complacency amid new corona outbreaks in emerging Europe

Surge in new COVID-19 cases in Caucasus, Moldova and Poland, while fresh outbreaks in Balkans show virus not yet under control.

Record contraction of Czech industry in April driven by 80% fall in car production

Industrial production flopped by 33.7% y/y as just 14,500 cars were produced during the month compared to a monthly average of 120,000.

Turkey’s public finances no longer “pillar of strength” they once were says Capital

Debt-to-GDP ratio will continue to rise and, as investors demand a higher premium to hold Turkish sovereign debt, local currency bond yields will probably drift higher over coming years, analysis concludes.

Lithuanian CPI growth eases further to just 0.3% y/y in May

The slowdown came mainly on the back of prices falling in the housing and transport sectors, a result of the falling oil prices because of the coronavirus pandemic that depressed the global oil market.

Hungarian tourism collapses in April

Hungary's tourism sector had a record year in 2019, but suffered an immediate blow after border restrictions were introduced from mid-March. Industry insiders say it will take years to recover.