The European Commission cut the GDP growth forecast in Poland to 0.4 percent in 2023, slightly down from 0.5 percent estimated earlier, while it maintained the estimate for 2024 at 2.7 percent, the Autumn European Forecast shows.
“The Polish economy remained weak in the first half of 2023 but is set to return to growth in the third quarter and expand by 0.4 pct over 2023,” the European Commission wrote in its report.
It added that the growth is depressed by falling private consumption and a negative contribution from inventories. “Household spending is held back due to high inflation and low consumer confidence,” analysts of the EC said.
At the same time, they noted that net exports contribute positively to growth due to a significant fall in imports, while exports decreased less than expected in the spring forecast by the EC.
“Economic activity is also supported by buoyant investment, amid continued high profitability of companies and the culmination of EU funding in the final year of the programming period,” the report continues.
In 2024, the Commission expects Poland’s GDP to expand by 2.7 percent.