Executive summary

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The transition countries experienced strong economic growth in 2007, but this has slowed in 2008 and the region is increasingly feeling the effects of the global financial crisis. However, market-oriented reforms have continued to advance in most countries. For the transition region as a whole, the number of transition indicator upgrades exceeded last year's total, with significant advances in south-eastern Europe and, to a lesser extent, in the Commonwealth of Independent States and Mongolia (CIS+M). The Report finds a strong link between progress in transition and economic growth, but many countries still need to address fundamental structural reforms.

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