Merrill Lynch forecasts GDP growth in Poland in 2016

Bank of America Merrill Lynch has maintained its forecast for the Polish economy - GDP growth from 3.5 percent to 3.8 percent in 2016. According to its report, GDP must increase, mainly due to "The Family 500+" government programme. It will also influence the private consumption rise in Poland from 3 percent up to 4 percent. Domestic demand in Poland is supported by improvement on the labor market, low inflation and low interest rates, Merrill Lynch states. In terms of investment support, there will be good financial conditions for companies, including economic growth and low costs of loans. Nevertheless, Bank of America Merrill Lynch predicts interest rate cuts in Poland, due to inflation throughout 2017.