The rise of digital technologies has brought about rapid changes in the way innovation is created and diffused, redefining entire industries. This paper investigates the role that innovation plays in Central, Eastern and South Eastern Europe (CESEE), analysing the innovation performance and investment efforts in different countries in the region. Building on firm-level data from the EIB Investment Survey (EIBIS) and complementary data sources, the paper dives deeper in analysing the financing conditions of investment in innovation as a key driver that may explain differences in investment patterns compared to the rest of the European Union (EU).
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