Central Europe’s recent floods looked dreadful on television. And they will have scarred the memories of the people who were hit the hardest. But the economic effects will be limited thanks to the solid defences put in place since the last flood a decade ago.
So says Erste Bank, which argues that while the floods were similar in scale to those of 2002, the costs for Austria, the Czech Republic, Slovakia and Hungary, will be a small fraction of 2002′s €6bn. Continue reading »
The Czech authorities have declared a national emergency following days of heavy rains that have left up to five people dead and several towns in the south and west of the country under water.
A rising tide of milky-coffee-coloured water in the River Vltava is threatening to spill over into the historic centre of the capital Prague and tourism officials are already beginning to estimate the potential losses to a washed out season. Continue reading »
Anyone ever stuck in Bangkok traffic is probably thrilled that Thai car sales are set to fall steeply this year but, perhaps surprisingly, car executives are still bullish on the country.
Why? Not because they think they can convince locals to keep buying cars for their slow commutes but because the country, despite devastating floods in 2011, is still an attractive manufacturing base for exports to the rest of the fast-growing Asean region. Continue reading »