Economic slowdown possible but no recession - central bank head

"The coronavirus epidemic will cause an economic slowdown, but there can be no talk of a recession," Glapiński told a press conference after talks between financial and banking representatives and the president. Wojciech Olkuśnik/PAP

The governor of the National Bank of Poland (NBP), Adam Glapiński, said on Thursday that there will be no recession in Poland, but admitted that there will be an economic slowdown.

"The coronavirus epidemic will cause an economic slowdown, but there can be no talk of a recession," Glapiński told a press conference after talks between financial and banking representatives and the president. He added that the Polish banking system was "stable, safe, and among the best."

Finance Minister Tadeusz Kościński, who attended the meeting with the president, said Poland's public finances were stable. He added that there was no need to amend the budget, which had sufficient reserves to cope with the situation.

Development Minister Jadwiga Emilewicz assured that there will no cash shortages in ATM machines, and suggested Poles resort to cashless payments for the time of the epidemic.

Commenting the president's proposal for banks to suspend loan repayments in connection with the coronavirus situation, Glapiński said the idea required banks to "make a non-standard gesture towards borrowers."