Polish economic growth likely to have accelerated to 3.1 pct in Q2

Polish economic growth is expected to have accelerated in the second quarter of this year. According to a Societe Generale research report, the economy is likely to have grown 3.1 percent year-on-year in the second quarter, an increase from first quarter’s 3 percent, consistent with GDP flash estimates.

Small alterations in the GDP growth would be mostly because of a persistent fall in investment. The growth of private consumption restricts the negative impacts of decline in investment.

Net exports are unlikely to have been a major driver of economic activity in the second quarter. Moreover, inventories are expected to have contributed negatively to the GDP growth, along with a marginally subdued industrial output growth, according to Societe Generale.

The Polish government has already decided to cut its original target rate of 3.8 percent for year-on-year 2016 GDP expansion to 3.4 percent.