UniCredit Group released a summary of the Central and Eastern European (CEE) Banking Study for 2015 on Wednesday.

The report said a growth in the demand for loans was likely for countries in the region, and that domestic funding aims to reduce vulnerabilities of the past that would replace external liabilities in 2015. 

According to the report, lending growth in the region was weak overall, but specific cross-country breakdowns showed positive trends in lending capabilities. It also said diversification across CEE countries will be a key feature to watch.

Russia, however, is expected to face further deceleration given falling oil prices and continued sanctions from the west.

"Central and Eastern Europe remains a diverse region," UniCredit's newly appointed Head of Corporate and Investment Banking Division and outgoing Head of CEE Division Gianni Franco Papa said. "Thus, the economy in Central and Southeastern Europe is expected to grow this year by 2.5 percent, and by 2.9 percent in 2016, whereas the figures for the entire region will be 0.2 and 2.2 percent due to the contraction in Russia."