Poland is one of the few countries in Europe that has shown an ability
to weather the economic crisis in the Euro-zone. The country’s solid
economic performance despite the weakness in many of its neighbors can
be attributed to the internal strength of the economy, and its minimal
exposure to distressed southern European states (Poland ETF Investing 101).
However, the economy, which survived the four years of economic crisis, is beginning to show new signs of weakness.
Trouble for Poland?
Reduced government spending along with waning consumer confidence
resulted in slower growth of the economy in 2012. The government, in an
attempt to scale down the deficit level to EU's requirement of below 3%
of GDP, has made significant cuts in spending.
Further, lower export demand attributable to the deepening crisis in
the Euro-zone also dampened the growth of the economy to some extent.
Slashed public investment along with stagnation in the housing market is
leading to a deep recession in the construction sector.
For 2013, the European Commission appears to be a bit cynical on the
outlook of the Polish economy. It anticipates the economy to grow at the
rate of 1.2% in 2013 and 2.2% in 2014 (more)
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