Entering into force on February 19, 2021, the EU Recovery and Resilience Facility aimed, according to the European Commission, “to mitigate the economic and social impact of the coronavirus pandemic and make European economies and societies more sustainable, resilient, and better prepared for the challenges and opportunities of the green and digital transitions.” CEE Legal Matters spoke with lawyers from Bulgaria, Greece, Hungary, Latvia, Poland, and Romania to learn what each country focused on, with its Recovery and Resilience Plan (RRP), and what difficulties lie ahead, now that these plans have been submitted to the EC.
Energy prices have been a salient issue in CEE for the past year. Part 1 of this article covered just how high the energy prices had climbed in Bulgaria, the Czech Republic, Moldova, Montenegro, Poland, and Turkey, the impact of those prices on people, businesses, and governments, as well as the reasons why some countries fared better than others. Then Russia’s war against Ukraine changed everything, making a new energy pricing normal seem more distant than ever. In Part 2 we look at what energy experts believe could alleviate the situation and whether the war has impacted those plans.
Had we been writing this piece mid-February, our description of the Polish real estate market would have been consistent with the trends encompassing the past two years: despite the pandemic, two sectors continue to boom – logistics and residential, including the still relatively new professional rented sector, with many big players moving into Poland over the past few months.
In the past twelve months, energy prices seem to have taken a life of their own. Their continued and, at times, shocking growth has raised concerns across the region and prompted differing responses and policy changes in each country. To get a more accurate picture of recent developments, we reached out to experts in Bulgaria, the Czech Republic, Moldova, Montenegro, Poland, and Turkey and asked them about the current energy prices, their impact on local economies, the drivers behind their growth, and whether any plans were in place to address the issue.
Three of the world’s most influential institutions have established expert teams to gather as much data as possible in order to make sense of the nature of the changes currently affecting the global labor market. Many law firms are already on board and are implementing strategies that will meet these changes head-on.
REITs first appeared in the US in the 1960s, and the American REIT market has enjoyed considerable growth over the last quarter of a century. From there, REITs have spread to most developed economies, including many EU member states, and can presently be found in approximately 40 countries. In the US, the total return on investment in REITs making up the FTSE Nareit All Equity REITs Index reached 1,225% over the last 25 years, which translates into an average annual return of 10.9%. This, coupled with the good performance of REITs in other countries, contributes to an increased interest in this type of legal structure in jurisdictions where such solutions have yet to be introduced.
Innovative technologies, software development, and gaming are becoming an increasingly important part of not only Poland’s M&A market but of the whole region. The greater presence of global tech investors seeking potential acquisitions in Poland is putting pressure on local developers to keep up with international standards and the fast pace of the acquisition process.
Even though situated at the outskirts of the EU, Poland undoubtedly serves as one of the main pathways into the Union’s affluent west. The importance of its infrastructure is reflected in its prioritized investment position. Looking at investments made by the European Investment Bank alone, one could see that out of the EUR 79.8 billion invested in the country since 1990, about 47% went to infrastructure.
Regional periodical league tables ranking M&A activity through the lens of the law firms advising on the deals are often dominated by Baltic law firms, with the CEELM Index special issue of the CEE Legal Matters magazine reflecting the same trend. To better understand why that is so, we spoke with several Partners – from both Baltic firms and other CEE jurisdictions.