IMF expects Poland’s GDP to grow at 3.3% in 2017

The International Monetary Fund has stated that it believes Poland’s GDP will grow at an average of 3.3 percent this coming year, according to a report the organization released earlier this week. According to many, this would be viewed as an improvement on the 2.5 percent growth experienced in 2016. The IMF stated that it believed the increased spending by the Polish government would lead to the growth. “The improvement in 2017 is due mainly to the rebound in public investment, as it will accelerate the absorption of EU funds, as well as continuous strong private consumption supported by the improvement in the labor market, higher wages and the 500-plus child benefits program,” said part of the report. The IMF also made a prediction on Poland’s inflation levels – it expects inflation to grow to 1.0 percent by mid-year, reaching 1.5 percent at the end of the year. This would also be an increase from the 0.0 percent recorded at the end of 2016. “We expect that in 2017 the output gap will be closed, which, along with rising fuel prices, the rise in minimum wage, […] as well as the strong pressures pricing should gradually push inflation towards the lower deviation,” the report also read.