The Menace of Recession?

PLN 500 for Families

PLN 500 for Families

According to reports, the money provided to families as part of the “Family 500+” programme, launched by the Polish government on April 1, is quickly returning to the stock market. However, an increase in retail sales during the first half of 2016 has not been as significant as was expected. The problem lies with deteriorating market moods amongst entrepreneurs, fewer investments by business and a poor situation on the construction market. Experts assume that this is why the Polish GDP annual growth rate projected in this year’s Finance Act will likely not be achieved. “Following the first half of 2016, we have experienced economic growth that would be the pride of many western European countries, however, current Polish GDP is still too far from the 3.8% projected in the Finance Act for 2016,” said Grzegorz Ogonek of XTB. He continues: “500+ has proved to be driving retail sales but it is not capable of carrying the entire economy”. The XTB expert also expressed his surprise and deep concern over the deteriorating PMI in Poland. “It seems like half of Poland’s entrepreneurs are expecting an economic slowdown,” Ogonek said.
money.pl

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