BofA Merrill Lynch keeps good GDP forecasts for Poland

Bank of America Merrill Lynch (BofA) has maintained its forecast for the Polish economy, the GDP is to grow by 3.5 percent this year and by 3.7 percent in 2016, the media reported citing the institution. BofA changed its estimates regarding Poland's inflation. This year, prices are to fell by 0.5 percent (by 0.4 percentage points more than in the previous forecast), whereas they are to increase by 1.5 percent next year (by 0.2 pp more than before). The bank's experts believe that potential power shift that may take place this fall, are likely to become unfavorable for the foreign capital and for the lenders' financial results. In addition, moves towards resolving franc-denominated mortgages will pose a focus in government's policy, as the value of such loans reached PLN 140 billion and accounts for 7.5 percent of the Polish GDP.