2023-11-14 12:59 update: 2023-11-14, 21:48
Pawel Borys. Photo PAP/Kalbar
Poland's economic growth in 2024 will surprise to the upside and may significantly exceed 3 percent, the head of the Polish development fund PFR Pawel Borys has said.
"I believe that Poland's economic growth in 2024 will surprise positively and could be significantly above 3 percent," Borys wrote on the X platform.
"A soft landing scenario is being unfolded thanks to the right policy mix, i.e. monetary tightening combined with a counter-cyclical fiscal policy, with a deficit of around 5 percent of GDP in the year of downturn," he added.
"The Polish economy is shifting to a higher gear, with the economic growth at 0.4 percent (year on year - PAP) in Q3," the government agency head continued.
According to Borys, Poland's annual GDP growth in the coming quarters should already be above 2 percent.
"We have good growth drivers amid continued disinflation in the form of investments growing at a trajectory of over 5 percent and net exports combined with a current account surplus of EUR 0.4 billion in September," Borys said.
Although the inventory cycle coupled with weak consumption and faltering external demand are still weighing on the economy, real wage growth shows that consumption is set to rebound, Borys added.
According to a flash estimate by Poland's stats office GUS, Poland's GDP in the third quarter of 2023 grew by 0.4 percent year on year, compared to a 0.6 percent year on year decline in the second quarter.
Economists surveyed by PAP Biznes had expected the GDP growth in the third quarter at 0.3 percent year-on-year.
On a quarter-on-quarter basis, GDP grew by 1.4 percent in the third quarter. (PAP)
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