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Poland's GDP to grow 3.5 pct in 2025: economists

0 Comment(s)Print E-mail Xinhua, June 26, 2024
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WARSAW, June 25 (Xinhua) -- Poland's GDP growth should be among the strongest in Europe, estimated at 3.5 percent in 2025, the Polish Press Agency reported on Tuesday, citing a report of Santander Bank Polska.

Santander's economists believe that although data on industrial production show high variability, the Polish economy is on a path of gradual recovery.

"For next year, we predict a further slight acceleration of GDP growth, up to 3.5 percent, with an upward asymmetric risk and a changing growth structure: consumption dynamics will probably fade due to slower growth in real incomes, but investments, strongly supported by spending, should come to the fore," the report said.

According to the research, wage dynamics in 2025 will slow from the current level of just over 10 percent to 7-8 percent. This is expected to be supported by lower inflation and a smaller-scale of increase in the minimum wage. In addition, there will be an even more modest increase in wages in the public sector than this year.

"Inflation has started to come out of the hole, but for now quite sluggishly - CPI increased to 2.5 percent year-on-year in May, the sixth consecutive downward surprise to market forecasts," the economists concluded.

Santander Bank Polska, headquartered in Warsaw, is the third largest bank in Poland in terms of assets value and the number of outlets. Enditem

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