Eastern Europe Edition

Iran War Spooks Markets at Bad Time for Romania

Once a dynamo of the region, economic growth has ground to a halt.
Romania’s politicians are facing some difficult choices.Photographer: Andrei Pungovschi/Bloomberg

Hi, this is Andrea in Prague. Welcome to our weekly newsletter on what’s shaping economics and investments from the Baltic Sea to the Balkans. You can subscribe here.

It’s not a great moment to be reliant on international investors. Emerging markets took a hammering this week after the US and Israel attacked Iran and triggered a widening war in the Middle East. It was time to reduce risk.