CPI likely to start going down in late 2022 says dep FinMin

Inflation in Poland should start to fall in late 2022, provided that the war in Ukraine ends, a deputy finance minister has said.

Poland is now battling rising inflation. According to the Central Statistical Office (GUS), prices of consumer goods and services (Consumer Price Index, CPI) in Poland increased by 12.4 percent year on year, and by 2.0 percent month on month in April 2022.

In March 2022, the prices of consumer goods and services increased by 11.0 percent year on year and by 3.3 percent month on month.

"The times we live in are uncertain, but if the war (in Ukraine - PAP) does not escalate and ends, there is a chance that inflation should start declining late this year," Magdalena Rzeczkowska told a Warszawa Radio programme on Thursday.

"It seems that there is a chance that next year will be better," she said, but also warned that any forecasts would be marked by a high degree of uncertainty.

According to Rzeczkowska, inflation stems mainly from external factors.

"Prices had been going up even before Russia's invasion of Ukraine," she said, adding that price rises had also been caused by the coronavirus pandemic, among other things.

"The pandemic has resulted in broken delivery chains, higher transport costs and growing energy prices. And this all has been multiplied by the war," she said.