S&P lowers Poland's GDP growth forecast for 2023

Justin Lane/PAP/EPA

Ratings agency Standard and Poor's (S&P) has downgraded Poland's economic growth forecast to 0.9 percent in 2023 from 1.2 percent forecast in September.

At the same time, S&P predicts that Poland's economic growth will accelerate to 3.2 percent in 2024.

"Our baseline assumption is weak but still a positive GDP growth of 0.9 percent in 2023 versus our previous forecast of 1.2 percent," S&P wrote in a report published on Wednesday. "Once the external environment improves, the economy should regain its momentum, and we expect GDP growth to reach 3.2 percent in 2024."

Poland's average annual inflation (HICP) is now expected to hit 12.9 percent and ease to 6.2 percent in 2024 and 3.1 percent in 2025.

The agency does not predict any further interest rate hikes by Poland's Monetary Policy Council to the end of 2023.