Southeastern Europe & Mediterranean Emerging Market Economies: Bi-Weekly Report 13 - 26 May 2025

ROMANIA
Dan’s victory in the Presidential election enshrines Romania’s pro-EU orientation, helping to ease market concerns, but political noise is far from over 
The remedy of the economy’s twin deficits requires costly political measures and reforms 


NORTH MACEDONIA
Higher-for-longer interest rates boosted banks’ profitability to new record highs in FY:24
Lower interest rates, following the NBRNM’s easing cycle, combined with higher provisioning needs, reflecting heightened uncertainty, should drive profitability to more moderate -- yet above historical average -- levels in the period ahead


ALBANIA
Incumbent PM E. Rama to serve an unprecedented 4th term after his Socialist Party (PS) landslide victory in the May 11th Parliamentary election
Further progress with EU accession remains key priority for the Government as it would help accelerate the pace of economic convergence with the bloc


APPENDIX:
DETAILED MACROECONOMIC DATA
REGIONAL SNAPSHOT:  
        MACROECONOMIC INDICATORS
        FINANCIAL MARKETS