SERBIA
Against the backdrop of robust economic recovery, bank profitability strengthened in FY:21 (with ROAE picking up to 7.5%), driven by lower impairment charges
The banking sector’s profitability is expected to weaken this year, amid a challenging operating environment
NORTH MACEDONIA
The economy enters the new crisis on a weak footing (GDP, up 2.4% y-o-y in Q1:22, unchanged compared with Q4:21)
The spillovers from the Russia-Ukraine conflict (especially in terms of higher inflation) are set to weigh on economic growth during the remainder of the year
ALBANIA
Despite the strong start to the year (GDP, up 6.0% y-o-y in Q1:22), economic growth is set to moderate significantly in the period ahead, reflecting the implications of the Russia-Ukraine crisis as well as the elimination of a series of favourable base effects, including a (weather-induced) spike in energy production
APPENDIX:
DETAILED MACROECONOMIC DATA
REGIONAL SNAPSHOT: MACROECONOMIC INDICATORS & FINANCIAL MARKETS