Morgan Stanley upgrades Poland's 2018 GDP growth forecast

Morgan Stanley's analysts have upgraded Poland's GDP growth forecast for 2018 to 5.1 percent from its earlier 4.9 percent estimate.

The global financial services firm also lowered Poland's 2019 GDP forecast to 3.8 percent from 4.0 percent.

Morgan Stanley experts said on Monday that although Poland's GDP will slow down to 3.8 percent in 2019 from 5.1 percent in 2018, the growth rate is still above the potential. In their opinion, the rising core inflation will not make Poland's Monetary Policy Council raise interest rates next year.

According to Morgan Stanley, private consumption is to grow by 4.4 percent year on year in 2018 and 3.5 percent in 2019. Investments are to grow this year by 6.6 percent and by 5.8 percent next year.

Inflation is seen by Morgan Stanley at 1.9 percent in 2018 and 2.6 percent in the upcoming year.