Current State of Economic Development in the Black Sea Region

The financial crisis halted a period of robust growth in the Black Sea Region, which now faces si­gnificant challenges in returning to financial and fiscal health. Though regional economies are di­verse, all would be well­served by strengthening financial and banking regulations, improving fis­cal credibility and deepening regional cooperation.

After a tumultuous early 1990s, the Black Sea Region as a whole stabilized. The post­-2000 period saw sustained high levels of growth, transforming economic and social structures. Formerly centrally planned systems have transformed into market­-oriented economies. Poverty rates, health and education standards, and average wages have improved, although wealth distribution has been uneven. The region’s economic orientation shifted toward the European Union, and stability helped lower country risk levels, improve sovereign credit ratings and encourage foreign direct investment.