Overall GDP growth will continue at a moderate pace in most of the region during 2011-2012, writes SEB in its October 2010 issue of Eastern European Outlook.

The export-led recovery of the past year in Eastern Europe − which in many places has been stronger than in Western Europe − is continuing. But the export-oriented manufacturing upturn is now entering a more mature phase, due to decelerating global growth. Meanwhile domestic demand is awakening, thanks to the resumption of real wage growth, stabilising labour markets and a gradual thaw in still-inhospitable credit conditions. Eastern Europe was the region of the world that was hardest hit by the global credit crisis, mainly due to its relatively large foreign loans. 
A special theme article discusses the internal devaluations in the three Baltic countries. Its conclusions are that the wage-cutting process has now largely ended and that the Baltics is recapturing export market shares.

Eastern European Outlook October 2010