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Raiffeisen Zentralbank CFO sees some property pressure but no bubble

Property prices in central and eastern Europe could come under pressure, but there is no "bubble" in the region, Patrick Butler, chief financial officer of Raiffeisen Zentralbank (RZB), told the Reuters Central European Investment Summit in Vienna on Monday.

"In certain segments, there is the chance of certain market distortions, (but) I wouldn't use the word bubble," Butler told Reuters. Butler said the desire of people in the region to own property, particularly their own home, and the need for investment should not be underestimated. The region had not seen the overbuilding experienced by some other countries and the only sector where there could be real pressure on prices was among holiday homes built to meet demand from British investors. "I would be frankly more concerned about Spain in terms of residential property prices than any country in CEE," he told the Reuters Summit. (The full text of the story)