Lithuanian Prime Minister Gintautas Paluckas in Mazeikiai, north-west Lithuania

Lithuanian gov’t collapses after PM resigns over EU funds scandal

“I carried out my duties in good faith, but I cannot allow this situation to paralyse the work of the government,” Paluckas told members of the press after tendering his resignation in Vilnius, south-east Lithuania.

The ferry terminal in Swinoujscie, northwest Poland

As Poland strikes oil, Hungary, Serbia plan pipeline to bypass EU energy restrictions

The discovery is among the most significant conventional oil finds in Central and Eastern Europe in the last decade, analysts said. Enerdata noted the resource scale could elevate Poland’s upstream profile within the EU, while World Oil called it a “strategic breakthrough in the Baltic basin”.

Japan Prime Minister Shinzo Abe and US President Donald Trump on 26 May, 2019, at the Mobara Country Club in Chiba, Japan

EU, US agree to 15% tariff rate, averting Trump trade war

European Commission (EC) President Ursula von der Leyen agreed a new trade deal with US President Donald Trump at Turnberry, south-west Scotland, on 27 July, setting a ceiling of 15% on tariffs for EU goods and averting a wider transatlantic escalation.

Soldiers with the laptop at a New Zealand millitary operation

Dan gov’t confirms Russian election hacking, citing NATO, EU

Romania’s 2024 presidential elections marked the first instance of a national vote annulled due to foreign interference within the EU, the European Commission noted. The episode has triggered renewed calls in the EU and NATO for enhanced cybersecurity capacity and democratic resilience across CEE.

Austrian Foreign Minister Beate Meinl‑Reisinger speaks to members of the press

Austria should consider NATO membership - Meinl‑Reisinger

Finland and Sweden abandoned their long-standing neutrality and joined NATO in 2023 and 2024 respectively, citing heightened security threats from Russia. Austria, bordered by NATO members Czechia, Slovakia, Hungary and Slovenia, is increasingly the odd one out in Central Europe’s defence landscape.

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Polish Prime Minister Donald Tusk talks to supporters

Polish gov’t creates economy superministry in major cabinet reshuffle

The model reflects past moves in Hungary and Romania to centralise economic power, often justified as way to improve implementation. Poland’s approach, however, appears more technocratic, with few political figures outside the prime minister and foreign minister elevated.

The building of Podgorica Airport in Montenegro

Korean airport consortium wins Montenegro's highest ever PPP

South Korean President Yoon Suk-yeol welcomed the agreement as a “milestone in regional partnership”, and said it reflected growing bilateral cooperation in strategic infrastructure sectors.

The European Commission building in Brussels

EC unveils EUR 2tn 2028-34 budget draft, tilting funding model towards CEE countries

The EC is expected to present the proposal formally as part of its mid-term budget review later this year. The plan must be approved unanimously by all 27 member states and endorsed by the European Parliament. Opposition is expected from net contributor countries and regions facing cuts.

Ukrainian President Volodymyr Zelenskyy addresses the Ukraine Recovery Conference

Poland, Czechia, Baltics lead Ukraine recovery push, Hungary, Slovakia reject plans

CEE contributions include cross-border logistics, public-private coordination platforms, and green recovery initiatives. Regional forums such as the Three Seas Initiative are also expected to play a larger role in financing and implementation.

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The flags of Poland and the European Union waving in the wind

Poland leads EU funding recipients with EUR 123.3 bn in long‑term budget draft

The European Commission (EC) published long-term budget allocation plans on 17 July, showing Poland set to receive the highest national allocation under the 2028-34 Multiannual Financial Framework (MFF), totalling EUR 123.3bn.

Slovenian Prime Minister Robert Golob speaks at the NATO summit

Slovenia cancels NATO referendum amid rising defence cost backlash

The Slovenian referendum cancellations should stabilise Golob’s coalition, ahead of national elections in 2026. However, the episode reflects wider unease across CEE, as rising military costs challenge domestic politics and expose diverging visions of NATO’s future.

Ministers from Southeast Europe and Ukraine on a joint photo at the Dubrovnik Forum 2025

Balkan ministers back Ukraine’s NATO bid at Dubrovnik summit

Serbia and Bulgaria did not sign the Dubrovnik declaration. Serbian President Aleksandar Vucic has maintained a policy of strategic ambiguity regarding NATO, while Bulgarian President Rumen Radev has voiced concerns about deepening military support for Ukraine.

Polish Prime Minister Donald Tusk before the Council of Ministers meeting

Poland's EU presidency under review: efficient but cautious

Key deliverables included the Strategic Technologies for Europe Platform (STEP), East Shield funding eligibility, three rounds of Russia sanctions and progress on Montenegro's EU accession.

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Montage of EU stars and the text "Cohesion Policy"

CEE countries jointly oppose EU's 'flexible funding' plan

The signatories, including Poland, Romania, Hungary, Bulgaria, Slovakia, Estonia, Latvia and Lithuania, said the policy’s “visibility and predictability” would be compromised if merged into a broader single investment fund.

The Rozvadovska spojka building of the Czech intelligence agency

Czech intel reveals Chinese plan to intimidate Taiwanese veep

The Czech Security Information Service said individuals linked to China’s embassy followed Hsiao’s convoy and considered a “demonstrative kinetic action” intended to unsettle, but not harm, her. Hsiao had been on her first foreign trip as veep, with Taiwanese President Lai Ching‑te.

NATO Secretary General Mark Rutte addresses members in The Hague

NATO endorses 5% defence spending framework at The Hague summit

Under the Hague Investment Plan adopted on 25 June, NATO members committed to raise annual defence-related spending to 5% of GDP by 2035. The 5% comprises 3.5% on conventional military capability and 1.5% on infrastructure, cyber-defence and civil preparedness; including support for Ukraine. cet

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