Current account and export data in August once again surpass expectations

Poland's current account deficit remained small in August, widening to just $392 million from the record-low $285 million in July. Analysts polled by Reuters a few weeks ago predicted that the August external deficit would be $519 million. However, the trade performance was bolstered by robust export growth, achieved despite the strength of the zloty. At $20.164 billion, exports were 12.6% higher in the January-August period, compared to the first eight months of 2000. Meanwhile, imports grew by 3.0%, to reach $27.957 billion. In year-on-year terms, exports rose 17.4% in August, while imports increased 3.1%. "These are very good figures, a significant im provement compared with the same period of last year, and with strong export results," said Dariusz Rosati, one of 10 members of the National Bank of Poland's (NBP) rate-setting Monetary Policy Council (RPP). Analysts say that in light of the strong export growth, the current account gap is likely to improve this year to slightly below 5% of GDP, from 6.2% at the end of last year. (Gazeta Wyborcza, Sept. 29-30, p. 25; Reuters) T.J.