TURKEY
Banking sector bottom line reaches a high in Q2:16, mainly due to higher gains from non-core activities
ROMANIA
NBR remains on hold, despite the subdued inflation outlook
BULGARIA
Asset Quality Review and stress tests confirm the strength of the banking system
Profitability of the banking system improves sharply in Q2:16
SERBIA
A new pro-EU coalition Government took office on August 11th
FYROM
Fitch downgrades FYROM’s long-term sovereign debt rating by one notch to BB (two notches below investment grade) with a negative outlook
Fiscal performance is set to deteriorate significantly during the remainder of the year, pushing the FY:16 budget deficit to a 2-year high of 4.2% of GDP
ALBANIA
Significant fiscal consolidation in 7M:16 -- 1.3% of GDP on a 12- month rolling basis -- due to a strong tax revenue performance as well as expenditure restraint
CYPRUS
Cyprus successfully taps international markets
Tourist arrivals exceed the 1.7mn mark in 7M:16, mainly due to heightening security concerns in neighbouring competitors
EGYPT
Egypt signs a preliminary agreement for a USD 12bn IMF lending programme
APPENDIX: FINANCIAL MARKETS