The Fitch ratings agency revised up Poland's GDP growth forecast for this year to 5.2 percent from its previous estimate of 3.3 percent, the agency said in a report.
A higher starting point means that growth this year is likely to be 5.2 percent 3.3 percent before the expected slowing of the economy in the coming quarters, Fitch said.
In the EU's Recovery and Resilience Facility RRF, the Polish economy will grow by 3.0 percent in 2023, below the previous forecast of 3.3 percent, and will slow down to 2.3 percent in 2024, according to the agency.
The agency said real income will go down along with accelerating inflation, tighter monetary policy, trade disruptions and growing economic uncertainty.
The National Bank of Poland will have to tighten its policy because of the inflationary situation, Fitch said. The agency believes that the central bank's reference interest rate will be at 7.0 percent at the end of the year and at 6.5 percent next year, with inflation at 11.0 and 7.5 percent at the end of the year.
Fitch also highlighted the good situation on the Polish labour market and an increase in domestic consumption due to the influx of refugees from Ukraine and a strong wage hike of 12 percent in March PAP emer jchch.