07 Jan 2020
The Polish economy likely grew by 3.9% in the final quarter of 2019, and 4.2% during the whole year, according to an estimate released by the Development Ministry on Thursday.
During the first three quarters of 2019, Poland’s gross domestic product (GDP) expanded by roughly 4.4%, said the ministry.
“This result, together with a forecast of a 3.9% increase in the fourth quarter of 2019, let us expect a 4.2% growth in the entire year,” the ministry wrote.
"The domestic demand has still remained the chief factor of the growth, with consumption playing the main role. A good situation on the labour market and social benefits accompanied by lower PIT (personal income tax - PAP) burden also have positive influence on this factor," the ministry added.
The Development Ministry however, also expects the Polish GDP to fall to roughly 3.5%, primarily due to an economic slowdown which has impacted Poland’s major trade partners.
Despite the external factors threatening the country’s economy, Poland continues to outpace market expectations, upwardly revising growth forecasts whenever official figures are published.
In October, Poland’s 2019 economic growth outlook was upwardly revised by the International Monetary Fund (IMF) from 3.8% in previous economic forecasts to 4%. This roughly matched the forecasts of Polish economists, who predict GDP growth to come in at roughly 4.0-4.2% this year.