Polish GDP growth slows down to 2.5% in the third quarter of 2016

Poland Central Statistical office reported that the GDP growth in the third quarter of 2016 fell to 2.5% which is the lowest in three years. The GDP growth topped in the last quarter of 2015 that coincided with the cycle of spending EU funds and the elections cycle.
The weak results of Polish economy as compared to the forecast from last year disappointed economic analysts already the third quarter in the row. Since the elections, new government took a new “nation first” implementing policies that are dubbed as populist by many and that certainly mean more spending for the government. The underperformance of Polish economy seems to be political in nature. Even if the current government made a few very controversial decisions, its economic policies could slow down growth only in the long term perspective. However, Polish currency weakened for the past year among increased capital movement out of the country and the official data show much lower economic performance than expected even after substantially increasing child benefits.

Jan

Jan is the main contributor. Likes writing, politics and some things that nobody else would ever find interesting.

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