Evolving Outlook for Businesses in Central and Eastern Europe

In the aftermath of the global financial crisis and amid the sovereign debt crisis afflicting a number of EU countries, companies doing business in central and eastern Europe (CEE) can find rewarding opportunities. Economic growth in the region, although uneven from country to country, has rebounded strongly from the global downturn on the heels of fiscal reform.

CEE economies are among the most open in Europe, and the region still offers highly competitive wage rates relative to other EU countries. Favorable tax regimes, improving infrastructure, and efficient supply chains have also improved the investment environment. Nonetheless, some important risks for businesses remain.

In this report, produced jointly by PwC Canada and Eurasia Group, we take an in-depth look at some of the advantages and potential risks of CEE economies for foreign investors.