Rzeczpospolita forecasts growing business slump and rising unemployment

According to Rzeczpospolita, business activity will continue to decline this year, with GDP increasing by about 3.5% in 2001 and in 2002 by about 4.2%, not the rates of 4.5% and 6%, respectively, that had been expected. As a result of weak economic growth, unemployment will continue to mount. The slowly dropping rate of inflation will reach an average of 7% in 2001, and drop below 6% in 2002. Apart from the general slow-down, the biggest threats to the economy are reduced investment and the tensions created by. unemployment, particularly among young people. (Rzeczpospolita, p. B3), M.T.