Lower-than-expected current account deficit good news for foreign investors

The current account deficit grew by $360 million in September, less than ant icipated by analysts, and reached $5,377 million in the first nine months of the year, compared with $7,863 million in the same period of 2000. According to an estimate by Marcin Mroz, economist with Societe Generale, the deficit fell to about 4.5% of GDP in the January to September period, which means th at Poland is now a much safer destination for foreign investors. However, ec onomists have expressed some concern about how the reduced deficit has been achieved. The lower foreign trade deficit, which was $946 million in Septemb er, was possible due not to an increase in exports but to a marked decline i n imports. Katarzyna Zajdel-Kurowska from Bank Handlowy described the figure s as very bad news in view of the importance of exports to economic growth, saying they could mark the start of a negative trend. (Rzeczpospolita, p. B1) P.J.