Strong zloty fuels Belka's pessimism over economic growth prospects

New Finance Minister Marek Belka said yesterday that a strong zloty was the biggest barrier to Poland's fast economic growth. Belka made the comment during a parliamentary committee discussion on the consequences of imposing an import tax. "The main fault with the import tax is that its implementation would probably lead to the immediate strengthening of the zloty. For me, the biggest obstacle to economic growth is at present the strong zloty," Belka said. So far this year the zloty has firmed nearly 5% against the euro and 1% against the dollar. Belka cooled hopes of a fast economic recovery. "I don't see any chance for a substantial pick-up in economic activity for most of 2002, but we can expect a slight revival at the end of next year," he told deputies. Poland's GDP growth is expected to slow to some 1.5% in 2001, from 4% last year. (Reuters)