Central Europe in the Pandemic Era: First Economic Results

Abstract

The article analyzes the response of the Visegrad Group countries to the 2020 pandemic. Measures are outlined that were taken by Hungary, Poland, Slovakia and the Czech Republic to support their economies, including efforts to stabilize labour markets and measures for several most affected sectors. The author assesses the main economic indicators of the Visegrad countries during the first half of 2020 in the light of the consequences of imposed restrictive measures. The reaction of the Visegrad economies to the pandemic correlates with the pan-European reaction. Special attention is paid to the condition of the foreign trade sector of the “four” members, which plays an important role in their economies. The dynamic of foreign trade relations of Hungary, Poland, Slovakia and the Czech Republic with the European Union and Russia during the pandemic is analyzed. Mutual trade flows within the Visegrad Group are evaluated in the light of opportunities to compensate downturns in other markets. Possible prospects for the development of the Visegrad Group after the pandemic are considered. The existing forecasts of the Group’s countries development are analyzed. The factors influencing the recovery process in the Visegrad countries are given. The consequences of COVID 19 will affect many sectors of Hungary, Poland, Slovakia and the Czech Republic, which will not be able to cope with them without the EU support. Realization of opportunities including the emergence of more innovative elements in their economies that meet the challenges of the 21st century, will also depend on the members of the Visegrad Group themselves. Acknowledgements. The article was prepared within the project “Post-crisis world order: challenges and technologies, competition and cooperation” supported by the grant from Ministry of Science and Higher Education of the Russian Federation program for research projects in priority areas of scientific and technological development (Agreement № 075-15-2020-783).