WARSAW: The EBRD hiked its forecast for Polish economic growth in 2015 to 3.4% from a 3.0% forecast issued in January as the European Central Bank quantitative easing is seen supportive for CEE economies, but recession in Russia may take its toll on growth in the region, the EBRD said in its latest set of macroeconomic forecasts.
The upgrade to the Polish and regional GDP outlook comes on the back of ECB QE which “definitely gives scope for optimism, especially in countries closely tied to the eurozone,” the EBRD said in its forecast. However, “prospects further to the east of the transition region have worsened, as the impact of Russia’s recession intensifies,” the EBRD wrote.
This Russian impact is visible in the Baltic states, with 2015 forecasts for Lithuania and Latvia down by 0.5-0.7 pps, the document shows. Polish growth will hold stable at the 3.4% mark in 2016, the EBRD also said.
