In May, the EC forecasted that Poland’s economy will shrink by 4.3 percent. This is 0.3 percentage points less than the current forecast of 4.6 percent. Despite the change in the forecast, the economic situation in Poland will be good compared to other European countries.
“The Polish economy has shown relative resistance in Q1, mainly due to slow exposal to sectors affected by the difficulties and the diversified economic structure,” the EC’s statement reads.
The GDP of the entire Eurozone will decrease by 8.7 percent, compared to the 7.7 percent forecasted in May.
There will be a rebound in 2021 in both Poland and the Eurozone, but it will not be enough to make up for the losses in 2020. Polish GDP will increase by 4.3 percent and the Eurozone GDP by 6.1 percent in 2021.
The EC stated that Polish GDP in Q1 of 2020 shrunk by 0.4 percent due to strong restrictions on private consumption.
Investments dropped by a small margin, the construction sector maintained its growth and industrial production noted small limits on its dynamic.