Current account deficit doubles to $672 million as imports and exports surge

Poland's current account deficit more than doubled in October, reaching $672 million, or an estimated 4.2% of the GDP. The increase slightly exceeded expectations, but it was the volume of trade that really surprised analysts. Both exports and imports surged by 25% over the previous month. Analysts have offered differing accounts of what happened, particularly in the case of exports, which in September appeared to be headed down, stifled by a strong zloty and economic stagnation in Europe. Grzegorz Wojtowicz of the National Bank of Poland's Monetary Policy Council (RPP) claims that the data is a sign that Polish companies can adjust to difficult conditions and be more competitive. Bank Handlowy economist Katarzyna Zajdel-Kurowska says that the increase in exports could have resulted from recording some of September's transactions in October, or from some large one-time deals, such as sales of ships. (Rzeczpospolita, Dec. 1-2, p. B1) T.J.