Central and Eastern Europe (CEE) is showing much more mixed economic signals. Countries are in an all-out race to report daily changes in their employment figures and industrial output data. Slovakia is set to publish its industrial output growth for April at 9 AM CET, while Slovenia will follow suit at 10:30 AM CET. Poland and Czechia will finalize their inflation data in May. We hope that this announcement will provide a deeper understanding of the state of economic opportunity in our region.
Czechia’s 1 st quarter 2025 employment numbers are a great start, continue the trend to the future. The country experienced a 1.1% year-on-year increase in jobs. That’s encouraging growth, considering the country’s ongoing struggles with economic headwinds. In comparison, Hungary managed the lowest level of employment growth in the region of 0.3% on an annual basis in the first quarter of 2023. This figure suggests a standstill from the previous quarter of 2024.
Employment Trends Across CEE
The employment landscape overall across CEE looks quite different from one country to the next. While Czechia’s figures demonstrate a steady increase, Hungary’s minimal growth indicates potential concerns regarding labor market dynamics. In Hungary, employment was stable on the fourth-quarter 2024 baseline. To many, this trend is read as a sign that the labor market is cooling rather than growing.
Looking at Romania’s employment figures presents a rather bleak portrait. The nation has been through a dramatic loss in overall job numbers. Year-on-year, the drop was 4.4%, and it was 2.1% less than in the prior quarter. These cuts have played a role in increasing Romania’s unemployment rates, a situation that is occurring in Poland. In light of the above developments, it is only reasonable to question the future stability of the labor market in these nations.
Trade Balance and Currency Strength
Concerning Romania’s April trade balance, the final result was EUR -3.14 billion – a confirmation of the acute impairment affecting the foreign trade sector. This large deficit could have repercussions for the long-term economic wellbeing of the nation as it continues to defend itself against instability in the international marketplace.
In spite of these headwinds, CEE currencies have started the week strongly and appreciated modestly against the euro. This positive trend may indicate that investor confidence has returned to the region. We have to take how sustainable this trend would be with different economic environments among CEE countries.
Upcoming Economic Indicators
As Slovakia prepares to announce its industrial output growth later today, analysts remain attentive to the potential implications for the region’s economy. The scheduled release at 9 AM CET is expected to provide valuable insights into manufacturing performance and industrial sector health.
Slovenia’s forthcoming industrial output growth report at 10:30 AM CET will further contribute to understanding regional economic dynamics. These five indicators will be key to any policymaker or investor looking to get a sense of momentum in the CEE markets.
Meanwhile, Czechia is set to publish its last inflation figures by May. Along with providing analysis on these consumer price trends, this report will expose the mounting economic pressures households are feeling. Collectively, these reports will help paint a clearer picture of CEE’s economic landscape as it adapts to both domestic and international challenges.