BALTIC SEA REPORT 2015
Geopolitical challenges require closer collaboration
- Cooperate more to grow more
- Income inequality and poverty: is a higher minimum wage the best answer?
- Taxes in the Baltics: which way forward?
Russia is in the midst of a recession, while the rest of the Baltic Sea region sees its economy expanding. The Baltic Sea index (BSI) points to somewhat closer institutional integration within the region, excluding Russia, and marginal improvements in competitiveness. Yet, developments are uneven, and the region’s countries are in different stages of their business cycles, implying different political and economic policy agendas. Politicians falling behind the curve in addressing structural problems and reducing overheating risks, as well as an unprecedented refugee influx, pose risks to growth and political stability. More economic integration and policy cooperation – within the region, with the rest of the EU, and globally – is necessary to reduce these risks and boost sustainable medium-term growth.
Baltic Sea Report 2015