Prosperity Report: Assessing economic and social progress in Austria & CEE

Prosperity Index provides rankings for all 27 European Union countries across five broad categories (Economy, Households, Society, Education and Sustainability). The focus is on how Austria and the EU member states in the CEE region compare to the other EU countries in these categories by addressing 22 individual metrics. The report outlines the accomplishments and challenges for the region (including Austria) and highlights specific opportunities that its states should pursue in order to maintain their economic and social progess.

Although the countries have made great progress since their accession to the EU, a number of the portrayed CEE countries still land in the bottom third of the report’s overall ranking of the EU-27. On the other hand, this placement is also a sign that their potential for catching up in relative terms remains intact.

Capital markets are rather small in CEE, but in Austria too – at least in an international comparison. The region (including Austria) also appears to be underdeveloped in terms of pension fund systems, a status that places burdens on private households’ budgets and public finances. Another challenge: demographic change will significantly impact the region’s labour market – a development that may have implications for the region’s growth potential and will also exert increased pressure on the its pay-as-you-go pension systems.