The World Bank says economic output for its regional grouping of countries in eastern Europe and central Asia is forecast to contract by 0.2 per cent in 2022.
Weak growth in eastern Europe in 2023: World Bank
The World Bank says countries in eastern Europe and central Asia will return to weak growth in 2023 but warns that a cut-off of Russian energy to the European Union would tip them into recession next year.
In updated economic forecasts, the World Bank said collective GDP in its Europe and Central Asia region was now expected to contract 0.2 per cent in 2022 and grow by 0.3 per cent in 2023 due to spillover effects from Russia’s invasion of Ukraine.
The 2022 forecast is a marked improvement over the World Bank’s June forecast of a 2.9 per cent GDP contraction for the region that includes Ukraine, Poland, Russia, Turkey and surrounding countries.
It reflects better than expected resilience and growth in some of the region’s largest economies, along with extensions of pandemic-era stimulus programs in some countries.