Poland's economy to expand quickly in 2021, 2022, says OECD official

Speaking to PAP on Monday, the OECD secretary general admitted that Poland's economy was doing "exceptionally well" during the coronavirus pandemic. Leszek Szymański/PAP

The secretary general of the Organisation for Economic Co-operation and Development (OECD) has said that Poland's GDP growth would reach about 5 percent in 2021 and that it would remain at a similar level in 2022.

Mathias Cormann added that the economic growth would start to weaken slightly as of 2023 but would remain strong.

Speaking to PAP on Monday, the OECD secretary general admitted that Poland's economy was doing "exceptionally well" during the coronavirus pandemic.

Referring to current inflation pressure, Cormann said that, in his opinion, it was not of a lasting nature, but potential risks had to be paid careful attention to in order to respond adequately to them.

According to Cormann, some elements of the inflation pressure are temporary since they have resulted from the supply-demand mismatch caused by the pandemic. He added that demand had turned out to be stronger than expected and that more time was needed to eliminate disruptions to supply chains around the world.

He went on to say that, in the case of Poland, which had a strong economy, strong GDP growth and low unemployment, there was still a risk that remuneration pressure could continue. Corrections in the monetary and fiscal policy were needed to avoid this, he said, adding that the Polish authorities were aware of this problem.

Cormann concluded that Poland was relatively strong, as far as its fiscal condition was concerned, when it entered the coronavirus pandemic and stated that despite the crisis, Poland's debt in relation to GDP "still did not exceed 60 percent."