With the fall of the Iron Curtain in 1989, Austria’s strategic position in Europe shifted from the ‘dead end of the West’ right into the centre of the ‘new’ Europe. Given Austria’s central location but also its strong historical and cultural ties with central, eastern and south-eastern Europe (CESEE), Austrian businesses were among the first to identify the economic potential of the CESEE region and to expand their activities into these new markets.
Austrian banks were primarily motivated by the wish to provide financial services to their domestic customers that had expanded their businesses to CESEE. In addition, Austrian banks chose to be among the ‘first movers’ into these new and profitable markets, establishing themselves as major players in many CESEE countries.
