Moody's raises Polish GDP growth forecast

Andrew Gombert/PAP/EPA

The Moody's rating agency has raised its prediction for Poland's GDP growth in 2023 from -0.2 percent to 0.4 percent without changing the country's credit rating.

The agency put 2024 GDP growth at 2.4. Moody's said Poland's long-term foreign currency rating remained at 'A2' with a stable outlook.

Poland's credit risks are sustainable, Moody's analysts said, despite an expected longer exposure to geopolitical risk.

"We expect that political risk will remain more elevated for Poland for an extended period of time," Mooody's wrote. "... While our baseline scenario does not assume a military confrontation involving Nato, any military attack on Poland would be followed by an immediate negative rating action."

Moody's said Poland's rating was resistant to a period of higher inflation, lower growth, higher expenditures and government financing costs as well as strained relations with the European Union.