Poland and zloty’s weaknesses on the brick of no-return
Elevated inflation is weighing on the propensity to consume and keeps undermining the purchasing power, while GDP growth decelerates.
Elevated inflation is weighing on the propensity to consume and keeps undermining the purchasing power, while GDP growth decelerates.
Despite a slight increase in interest rates, the amount granted by credit institutions to Lithuanian residents increased by €306.0 million.
In Latvia, the State programme for house purchase provides a boost to the price increase, lowering the effectiveness of the macroprudential policy.
In Poland, June CPI rose to 15.5% YoY, where energy carriers were 35.1% more expensive than a year earlier, with fuels +46.7%.
Upward pressure from commodity prices continues and symptoms of a marked economic slowdown are visible in the construction industry.
As the price of almost all goods and services continued to increase, the scenario in Latvia is worsened by the transport sector.
Polish construction output is forecast to level off in 2021, and to rebound by more than 7% in 2022. Profit margins will deteriorate and fail to increase further.