Economists downward revise 2005 estimates in wake of poor investment figures

Average estimates of GDP growth currently stand at 3.8%, while a month ago the figure was placed nearer 4.2%. Some analysts treat poor the data on investment growth as a one-off event, which should have no impact on the full year result of economic growth if investments grow in the remaining quarters. The most pessimistic forecast concerning investment growth stands at 4.8% and it was presented by bank BOŚ, while the most optimistic was presented by bank Pekao at 13.1%. The reason for the latter figure is due to the fact that analysts of the bank have not yet altered their full year forecasts. Due to economic slowdown economists expect that over the months ahead the market should see two additional interest rates cuts of about 50 base points. (Parkiet, p. 8) M.M.