In Poland, inflation in July amounted to 15.5%, the peak of price growth is yet to come

July 29, MINSK. In Poland, annual inflation in July, according to preliminary estimates, amounted to 15.5%, prices for goods and services increased by 0.4% over the month. This is reported by the information portal of the Polish radio RMF 24 with reference to the Central Statistical Office of the country.

After the announcement of inflation data, Polish Prime Minister Mateusz Morawiecki announced that the government's anti-inflationary measures would be extended until the end of the year.

“I am glad that there is no sharp rise in inflation, but it is too early to talk about an inflationary turnaround. I think that inflation will be elevated next year as well, but I believe that it will start to decline. Much depends on global factors - prices per barrel of oil , prices for gas, which is monstrously high, and electricity prices on European exchanges," Morawiecki said.

DIRECTOR of the Polish Institute of Economics Piotr Arak believes that the peak of inflation in the country is yet to come. "My analytical team predicts that inflation will reach 16.5%, and the peak is likely to be in August," - said the economist.

The Polish Institute of Economics predicts that a systematic decrease in inflation can be expected only in autumn. This will be due to the weakening of economic activity in Poland and in the euro area.

Earlier it was reported that in early 2023 in Poland, for the first time in 10 years, stagflation is predicted, when high inflation will be combined with an economic downturn.

“Recession is becoming the main threat to the Polish economy. Economists currently expect GDP growth in the first quarter of 2023 to be close to zero. Almost 40% of analysts surveyed believe that the economy will shrink compared to the first quarter of this year. Signs of such a slowdown can be see in all major sectors of the economy. Analysts note both a slight increase in consumption and relatively weak investment," said Jakub Rybacki, HEAD of the macroeconomics department at the Polish Institute of Economics.