S&P upgrades Poland's GDP growth forecast for 2024
Global rating agency Standard and Poor's (S&P) has raised Poland's economic growth forecast to 3.1 percent in 2024 from 3.0 percent expected earlier.
The revision of the GDP growth forecast for 2024 is due to a moderate improvement in the outlook for investment, S&P said in a report published on Tuesday.
The agency also expects Poland's economic growth to reach 3.0 percent in 2025 and 2.9 percent in 2026.
S&P's forecast for this year's GDP growth stands at 0.6 percent.
Poland's average annual inflation, according to S&P, will hit 10.9 percent at the end of this year and fall to 6.0 percent in 2024, then to 4.1 percent in 2025 and 3.4 percent in 2026.
The agency also expects that Poland's Monetary Policy Council, the central bank's rate-setting body, will maintain interest rates at the current 5.75 percent until the end of 2024, followed by a total of 100-bps cut over the course of 2025 - to 4.75 percent and another 175 bps in 2026 to 3.00 percent.
According to S&P, Poland's unemployment, as calculated according to the BAEL criteria (economic activity of population - PAP), will be at 2.8 percent come the end of the year, and will remain at that level for the next three years, until the end of 2026.
S&P is scheduled to issue a review of Poland's sovereign rating, or creditworthiness, which now stands at A- with a stable outlook, next Friday.
Among the three major rating agencies, Moody's offers Poland the highest rating, at the A2 level. According to Fitch, Poland's rating is A-. All three give Poland a "stable" outlook. (PAP)
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