Employers' Confederation sees recovery in second half of year

According to a new study by the Polish Confederation of Private Employers (PKPP) the first quarter of 2003 will not trigger a significant economic recovery, though the situation is likely to improve in the second half of the year. "The most significant factor keeping economic growth at its current level is foreign trade. We are worried though by a fall in the profitability of enterprises," said PKPP expert Stanislaw Kubielas. The confederation is of the opinion that the key to maintaining constant economic growth is effective fiscal policy reform. However, the PKPP has criticized Finance Minister Grzegorz Kolodko's current plans, claiming that the proposed reforms will only lead to increased taxes and limit the growth of savings and investments. (Puls Biznesu, p. 11) A.K.