The adoption of market-led and outward-oriented economic systems in the formerly communist countries of central and eastern Europe has brought with it the liberalization of their trade policies. They have implemented trade reform unilaterally, some joining regional integration initiatives and a few participating actively in multilateral trade negotiations. Progress in creating a more transparent and predictable trading environment has been remarkable, but fragile external balances still risk encouraging domestic pressures for protectionism. Adherence to international trade disciplines can help consolidate recent achievements and facilitate the integration of transition countries into the world economy.
