login
Euromoney CountryRisk logo
  • Global Risk Table
  • Countries
  • Analysis
  • About Us
    • About ECR
    • Methodology
    • FAQS
    • Become an Expert
  • Contact Us

Eurozone risks spread eastwards: ECR Q1 2013

Jeremy Weltman Tuesday, April 09, 2013

Neither CEE nor the Commonwealth of Independent States (CIS) appear to offer more favourable diversification options as their risks increase due to slower trade, weak capital flows and political problems.

Average scores for the CEE and CIS regions have fallen in tandem during Q1 2013, with declines of 0.7 points each, as weakened economies and increased political/regulatory risks affect the investor environment.

While the Cypriot problem was a leading protagonist in dragging the CEE region downwards, there were also notable downward score adjustments for Hungary, Bulgaria, Romania and Montenegro – linked in part to the aftershock from Cyprus – but not for the Czech Republic or Poland.

Those two strengthened, and are both seen – along with Slovakia – as safer (both politically and economically), with fewer fiscal problems or other substantial imbalances.

The drop in scores for Russia and other former-Soviet CIS states is particularly discouraging, as none of the 12 members, with the exception of 62nd-placed Russia on a score of 51.6, previously had a total score of more than 50.

In many cases the score declines – for Kazakhstan, falling four places in Q1 2013 to 79th, Ukraine sliding nine to 118th and Azerbaijan, a one place slip to 82nd – highlight weakened capital access, debt indicators or credit ratings.

As one prominent ECR expert noted, preferring to speak in a private capacity: “The CEE region is significantly affected by negative developments in the eurozone, particularly through trade and financial system linkages.

“Although also affected by these developments, the CIS is more heavily affected by global dynamics, energy/commodity price effects and investor risk perceptions [including idiosyncratic political risks].”







Recent articles

  • ECR survey results Q3 2022: Political risk is heightened by conflict, inflation and tightening financial conditions

  • ECR survey results Q2 2022: Covid, war and stagflation risks perplex investors

  • ECR survey results Q4 2021: EMs on back-foot as the year ends

  • ECR survey results Q3 2021: CEE shines but Brazil, Nigeria and other EMs recoil from global investing roadblocks

Euromoney CountryRisk logo

The material on this site is for financial institutions, professional investors and their professional advisers. It is for information only. Please read our  Terms & Conditions ,  Privacy Policy and Cookies before using this site.


All material is subject to strictly enforced copyright laws. Euromoney Country Risk is part of the Delinian Group Delinian Limited 8 Bouverie Street London EC4Y 8AX Registered in England and Wales, Company number 00954730 Copyright © Delinian Limited and its affiliated companies 2023

  • Methodology
  • FAQs
  • Articles
  • Contact us
  • Modern Slavery Act Transparency Statement