Poland's inflation at 7.6 pct in 2022, with peak in June - central bank

Rafał Guz/PAP

Poland's average annual inflation rate will probably reach 7.6 percent year on year in 2022, which is more than the 5.1 percent expected for 2021, according to the governor of the National Bank of Poland (NBP).

"Poland's average annual CPI is expected to reach its peak at 8.3 percent in June," Adam Glapinski was quoted as saying by the Business Insider web portal.

"And it will go down to 6.2 percent year on year in December," the central bank head added.

According to Glapinski, energy prices will be responsible for "close to a half" of next year's price growth since they are expected to rise to a record-high level of 27 percent in June.

"Fast economic growth and very low unemployment will increase inflation, both indirectly and directly," Glapinski said, adding that he had in mind higher costs for companies, as well as higher prices for their goods and services.

"And this, in turn, will stimulate further growth in inflation expectations and wages," the central bank head said, adding that, in this situation, inflation pressure will likely strengthen.