EC: Inflation in Poland in 2023 will be the highest in Europe

The European Commission is lowering economic growth forecasts for Poland this year. This is the effect of the collapse of trade with Russia and Ukraine and the rise in inflation. The EC expects that next year prices in our country will grow the fastest in Europe.

The European Commission has published a report in which it significantly lowered its forecasts of economic growth for Europe. According to them, in 2022 the EU economy will grow by 2.7 percent. (earlier forecasts assumed a 4% increase), and in 2023 – 2.3%. (previously 2.8%).

According to the European Commission, economic growth in Poland in 2022 will be 3.7%, and in 2023 our economy will grow at a 3% pace.

As the European Commission points out, the European and world economy suffers, inter alia, from due to soaring energy prices and disruptions in supply chains, which contributed to the Russian invasion of Ukraine. However, these factors were already influenced by difficulties in connection with the coronavirus pandemic.

In connection with the situation the average annual inflation in the euro area in 2022 will amount to 6.1%. The earlier projection spoke of a 3.5% increase.

However, prices will increase the fastest in Central and Eastern Europe. According to the European Commission, in 2022 Lithuania will struggle with the highest inflation, where it is expected to amount to 12.5 percent. He will also be in the lead Poland, where prices are to grow at a rate of 11.6 percent.

The EC expects that next year the price increase in the euro zone will slow down to 2.7%. Also in the rest of the EU, inflation will be lower, though in Poland, prices will grow the fastest in Europe. According to the European Commission, in 2023 inflation in our country will amount to 7.3 percent.

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Let us recall that, according to the National Bank of Poland, inflation in our country will return to the central bank’s target (i.e. 2.5% with a possible deviation of 1 percentage point) only in 2024.

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