Prices elevated by a combination of demand for electricity for cooling and an outage at one of the reactors of Romania’s nuclear power plant.
Household consumption set to be one of the main drivers of Poland’s economic growth in 2021.
Poland’s industrial production growth expanded 18.4% year-on-year at constant prices in June, after jumping 29.8% y/y the preceding month.
June expansion extends the period of ongoing high inflationary pressure in Poland.
Inflation hit a new record for this year, and the highest figure since end-2012.
In June 2021, the average level of consumer prices in Latvia increased by 2.7% y/y, the Central Statistical Bureau said on July 8.
Industrial production volumes increased by 15.9% in May 2021, y/y. Production increased by 7% in energy and 18% in manufacturing, but decreased by 13% in mining.
Poland’s unemployment rate eased growth further in June, inching up 0.1pp y/y to 6%, the Ministry of Development, Labour and Technology said in a preliminary estimate on July 6.
Latvia’s industrial production output rose by 10.1% y/y in May, according to calendar adjusted data at constant prices, the country’s Central Statistical Bureau (CSB) announced on July 5.
Poland's PMI climbs to 59.4, a new historic high, from 57.2 the previous month, smashing the consensus figure of 57.
Poland's Purchasing Managers' Index (PMI) climbed 2.2 points to 59.4 in June, the new all-time high after the preceding month, the economic research company IHS Markit said on July 1.
The Czech Republic Manufacturing PMI index soared in June to 62.7 in June. However, problems in supply chains could take the edge off growth.
Capital Economics analysts point to evidence of growing price pressures in eastern EU members.
Inflation is set to remain elevated throughout 2021, analysts say, but central bank is not expected to take action until at least the end of the year.
EBRD says recovery from the coronacrisis is progressing faster than expected, but many emerging Europe economies won’t return to 2019 levels of GDP until 2022.
Romania’s GDP per capita increased to 72% of the European Union’s average last year, after rising by 20 percentage points over the past decade.
Annual growth rate picks up 0.4pp versus the revised annual reading in April.
Transparency International survey shows citizens of Slovenia and Bulgaria were most likely to think their government was run by a few big interests looking out for themselves.
Inflation expected to rise further as price pressures mount.
Bulgaria has been struggling for years with air pollution in urban areas, particularly in winter.