MPC members split on extend of economic slowdown in Poland.

By bne IntelliNews August 24, 2012
The current data on economic activity as well as business climate indicators pointed to further slowdown in domestic economic growth in Poland, according to some members of the Monetary Policy Council (MPC), as reported by the central bank in the "minutes" of MPC's July sitting. According to those members of the Council, weaker business climate indicators about the expected economic conditions, in particular regarding outlook for demand, orders and production, were a sign of adverse prospects for domestic economic activity. Yet, few MPC members said that the recently incoming data indicate rather a slight economic downturn. Those Council members pointed to some strengthening of industrial output and retail sales growth in May (that could be driven not only by one-off factors, such as football tournament Euro 2012), a sustained strong financial standing of firms and an improvement in liquidity indicators in the corporate sector in Q2 of 2012, as showed by the NBP surveys. Some Council members emphasised that the projection envisaged further economic slowdown - deeper than forecast in the March projection. A few MPC members deemed economic growth in the coming years likely to run markedly below the levels assumed in the NBP projection. At the same time, other central bankers deemed that following a marked slowdown this year, GDP growth may gradually pick up in the course of 2013. Under the July projection of NBP, Poland's economic growth will amount to 2.9% in 2012 (vs. 3.0% expected in March), while it will slow down to 2.1% in 2013 (vs. 2.3% expected in the March projection). In 2014, the GDP growth will accelerate to 3.0% y/y (vs. 3.2% projected in March and compared to last year's 4.3%).

Related Articles

EC refers Poland to court for delay on renewable energy rules.

The European Commission is referring Poland (and Cyprus) to the Court of Justice of the European Union for failing to fully transpose EU's Renewable Energy Directive, according to the ... more

ZEW Economic Sentiment Indicator for Poland surges to 42.9pts in February.

The ZEW-Erste Group Bank Economic Sentiment Indicator for Poland (economic expectations) surged by 22.3pts m/m to 42.9pts in February, according to a report by the Center for European Economic ... more

FinMin: Poland to inject EUR 5.5bn of FX reserves to ECB upon euro-zone entry.

When Poland joins the euro-zone, it will have to transfer EUR 5.47bn of its foreign-currency reserves to the European Central Bank, according to a statement by the ministry of finance. The ... more

Register here to continue reading this article and 2 more for free or purchase 12 months full website access including the bne Magazine for just $119/year.

Already a subscriber or registered - click here to recover access.

If you a IntelliNews Pro user - click here to login.

Thank you. Please complete your registration by confirming your email address.
A confirmation email has been sent to the email address you provided.

To continue viewing our content you need to complete the registration process.

Please look for an email that was sent to with the subject line "Confirmation bne IntelliNews access". This email will have instructions on how to complete registration process. Please check in your "Junk" folder in case this communication was misdirected in your email system.

Already a subscriber or registered - click here to recover access.

If you a IntelliNews Pro user - click here to login.

If you have any questions please contact us at sales@intellinews.com

Subscribe to bne IntelliNews website and magazine

Subscribe to bne IntelliNews website and monthly magazine, the leading source of business, economic and financial news and commentary in emerging markets.

Your subscription includes:
  • Full access to the bne content daily news and features on the website
  • Newsletters direct to your mailbox
  • Print and digital subscription to the monthly bne magazine
  • Digital subscription to the weekly bne newspaper

Already a subscriber or registered - click here to recover access.

If you a IntelliNews Pro user - click here to login.

bne IntelliNews
$119 per year

All prices are in US dollars net of applicable taxes.

If you have any questions please contact us at sales@intellinews.com

Register for free to read bne IntelliNews Magazine. You'll receive a free digital subscription.

Already a subscriber or registered - click here to recover access.

If you a IntelliNews Pro user - click here to login.

Thank you. Please complete your registration by confirming your email address.
A confirmation email has been sent to the email address you provided.

IntelliNews Pro offers daily news updates delivered to your inbox and in-depth data reports.
Get the emerging markets newswire that financial professionals trust.

"No day starts for my team without IntelliNews Pro" — UBS

Thank-you for requesting an IntelliNews Pro trial. Our team will be in contact with you shortly.

Dismiss