Eastern Europe’s Two Biggest Economies Stumble on Weak Spending

  • Poland’s GDP unexpectedly contracts; Romania stagnates
  • Most EU eastern economies have slowed as Germany falters

Economies in Poland and Romania stumbled as weak consumer demand was compounded by stagnation in Germany, adding to a picture of struggling growth across the European Union’s east.

Poland’s gross domestic product unexpectedly contracted by 0.2% in the third quarter compared to the previous period, after economists had forecast a 0.3% expansion. In Romania, growth stagnated as weak consumption sapped a raft of government spending on infrastructure and social benefits. Slovakia’s economy expanded 0.3%, as last quarter.