.jpg)
1 hour ago
3
Article content
(Bloomberg) — Poland’s economic growth accelerated more than forecast in the second quarter, boosting Prime Minister Donald Tusk’s government ahead of parliamentary elections next year.
THIS CONTENT IS RESERVED FOR SUBSCRIBERS ONLY
Subscribe now to read the latest news in your city and across Canada.
- Exclusive articles from Barbara Shecter, Joe O'Connor, Gabriel Friedman, and others.
- Daily content from Financial Times, the world's leading global business publication.
- Unlimited online access to read articles from Financial Post, National Post and 15 news sites across Canada with one account.
- National Post ePaper, an electronic replica of the print edition to view on any device, share and comment on.
- Daily puzzles, including the New York Times Crossword.
SUBSCRIBE TO UNLOCK MORE ARTICLES
Subscribe now to read the latest news in your city and across Canada.
- Exclusive articles from Barbara Shecter, Joe O'Connor, Gabriel Friedman and others.
- Daily content from Financial Times, the world's leading global business publication.
- Unlimited online access to read articles from Financial Post, National Post and 15 news sites across Canada with one account.
- National Post ePaper, an electronic replica of the print edition to view on any device, share and comment on.
- Daily puzzles, including the New York Times Crossword.
REGISTER / SIGN IN TO UNLOCK MORE ARTICLES
Create an account or sign in to continue with your reading experience.
- Access articles from across Canada with one account.
- Share your thoughts and join the conversation in the comments.
- Enjoy additional articles per month.
- Get email updates from your favourite authors.
THIS ARTICLE IS FREE TO READ REGISTER TO UNLOCK.
Create an account or sign in to continue with your reading experience.
- Access articles from across Canada with one account
- Share your thoughts and join the conversation in the comments
- Enjoy additional articles per month
- Get email updates from your favourite authors
Sign In or Create an Account
or
Article content
Gross domestic product expanded an annual 3.8% in April to June, compared with 3.5% over the previous three months, according to preliminary data from the statistics office published on Thursday. The median estimate in a Bloomberg survey was 3.7%. The economy grew 0.9% from the previous quarter.
Article content
Article content
Article content
Tusk is counting on one of the fastest economic growth rates in the European Union to help reduce a record budget deficit and tackle ballooning debt. Expansion in the second quarter was powered by a rebound in construction, investment and defense spending, which helped compensate for a decline in private consumption as the US war on Iran drags on and raises energy costs.
Article content
By signing up you consent to receive the above newsletter from Postmedia Network Inc.
Article content
“Despite global turmoil, GDP growth accelerated, confirming the resilience of the Polish economy to external shocks,” Bank Pocztowy SA’s chief economists Monika Kurtek wrote in a note on Thursday.
Article content
Defense expenditures are set to have a pronounced impact on growth after Tusk’s government secured the biggest share of the EU’s €150 billion ($173 billion) funding plan for military modernization. Around €44 billion of the so-called SAFE program is earmarked for Poland.
Article content
“The scale of the defense spending planned in Poland is such that it will have a significant impact on the macroeconomic outlook,” said Credit Agricole Bank Polska SA economists led by Jakub Borowski. They said Polish producers of artillery systems, ammunition, armored vehicles and unmanned systems may be among the biggest winners of the SAFE funds.
Article content
The robust economic expansion is likely to relieve pressure on the Polish central bank to resume interest-rate cuts, especially after a resurgence of inflation. Headline consumer price growth accelerated to 3% in July from 2.5% in the previous month following the removal of the government’s fuel price caps.
Article content
Advertisement 1
English (US)