Bi-Weekly Report 11-24 July 2017
Turkey
Fiscal easing accelerated in H1:17, in a bid to boost economic activity
Lending activity (FX-adjusted) rose sharply in H1:17, benefiting from relaxed macro-prudential measures and the Government's credit guarantees
Romania
Headline inflation rose to a 2-year high of 0.9% y-o-y in June from -0.5% at end-2016, on the back of stronger domestic demand and higher food prices
Credit activity picked up in H1:17
Bulgaria
Headline inflation declined to 1.9% y-o-y in June from its recent peak of 2.6% in April, following a slowdown in volatile food and energy inflation, but remained higher compared with end-2016 (0.1%)
Credit expansion strengthened further in H1:17
Serbia
The IMF reached a staff-level agreement with the authorities on the completion of the 7th review of the ongoing 3-year EUR 1.2bn precautionary SBA
Inflationary pressures heightened in H1:17, mainly due to once-off increases in regulated prices and unfavourable food prices
FYROM
Tourist arrival growth has remained broadly unchanged at around 5.0% y-o-y since the beginning of the year, on a 12-month rolling basis
Monthly customer deposit growth turned positive in June, following the resolution of the domestic political deadlock in late-May
Albania
The current account deficit continued to narrow on an annual basis in Q1:17, on the back of a strong export and services performance
Cyprus
Banking sector bottom line deteriorated on an annual basis in Q1:17, mainly due to a sharp rise in non-NPL related provisions
Egypt
Headline inflation ended the fiscal year at c. 30.0% y-o-y, on the back of a sharp depreciation of the domestic currency, large regulated price adjustments and higher tax rates
The IMF's Executive Board approved the first review of the economic reform programme, supported by the 3-year USD 12bn Extended Fund Facility arrangement
Appendix: Financial Markets