Deutsche Bank report pessimistic about revenue growth and profits this year

Polish business will increase revenues this year by 6% and profits by 1%, a survey conducted by Deutsche Bank has concluded. The report goes on to say that no significant improvement in performance can be expected until the end of this year or in 2002. According to Deutsche Bank strategist Shanat Patel, foreign investors are currently cautious about purchasing shares in Polish companies, because they are put off by the high interest rates, the market slowdown, and the declining profitability of companies. However, the Deutsche Bank report does find some cause for optimism, citing such strong points as the increased business efficiency, the rapid influx of direct investment, and the flow of capital into the pension fund market. (Rzeczpospolita, p. B5) P.W.