Economic activity picked up in the course of 1999, despite the dioxin crisis of mid-year, owing to a recovery in export markets following the world financial turmoil of late 1998, supportive monetary policy in the euro area, improvements in business and consumer confidence, and continued growth...

The primary focus of this paper is on economic developments and policies in the period since the outbreak of the financial crisis. Policies adopted under the program successfully restored external stability, rebuilt reserves, and initiated reform of the financial and corporate sectors. Key...