Fitch ratings upgrades Poland's 2018 GDP growth estimate

The ratings agency Fitch has upgraded Poland's GDP growth estimate for 2018 to 3.9 percent from the previously expected 3.6 percent. The GDP growth estimate for 2019 (3.2 pct) remains unchanged.

Fitch predicts that GDP growth rate will slow down in comparison to 2017 which "reflects the expected deceleration in consumption (to 4.0 percent) as the effect of higher social transfers gradually fades out," Fitch said. "Tighter monetary policy should also weigh on domestic demand."

The agency has downgraded its estimates of interest rate hikes by 50 bps in 2018 and by 25 bps in 2019 (from 100 bps expected earlier).