Foreign investors and companies abandon region's hi-tech stocks

Local markets are highly correlated with the plummeting Nasdaq

Monday 23 April 2001 at 16:00

Investors shellshocked by the collapse in hi-tech stocks worldwide have become belatedly cautious.

The hi-tech sector in Eastern Europe now faces the same problem affecting technology sectors everywhere. Regional stock markets highly correlated with the Nasdaq have slumped, and financial volatility has impacted upon those businesses with sound business plans, as well as removing weaker companies from the marketplace.