Growth in EBRD to pick up despite major risks
Depressed commodity prices and security concerns are putting a brake on growth in some countries while geopolitical tensions and weakness of global trade continue to weigh on others.
Meanwhile, the British vote to exit the European Union, while raising questions about the impact on growth in the eurozone, has had a positive short-term effect on capital flows to emerging markets.
The EBRD region, which stretches from southern and eastern Mediterranean countries to eastern Europe and Central Asia, is forecast to grow, on average, at 1.6 per cent this year (an upward revision of 0.2 percentage points since the previous EBRD forecast in May) and 2.5 per cent next year, compared with 0.5 per cent growth in 2015. ■