Monetary Policy Member believes inflation to rise next year

Wiesława Ziółkowska, a member of the Monetary Policy Council (RPP), said yesterday that at the end of 2003 inflation would remain between 1.5%-1.7% and in 2004 it would increase to more than 2.5%. "Inflation will be kept high particularly at the beginning of 2004, with the level for the rest of the year depending on a combination of the success of the Polish harvest and the level of oil prices" Ziółkowska said. According to estimates by the Central Statistical Office (GUS), in October, inflation stood at 1.3% year on year. Following the publication of the GUS data, economists forecast that at the end of the year the indicator would hit 1.5%-1.6%. Analysts also expect inflation to increase at the beginning of 2004. Ziółkowska added that due to positive cross-border trade figures, she expected positive growth in exports over the next few weeks. (Parkiet, p.1)