Poland’s inflation rate is likely to fall in 2023, a deputy finance minister has said.
Artur Sobon said on October 5 that the 2023 budget was based on an average annual CPI (Consumer Price Index) assumption of nearly 10% but “forecasting is extremely difficult in these conditions”.
He said that some factors, such as an escalation of the war in Ukraine or “some situations” on the energy market, could be “growth impulses” for inflation.
However, Sobon added, “There is consensus among economists that next year inflation will fall and all signs in heaven and on earth indicate this”.
He also said that funds for supporting people most affected by high inflation constituted “an important part of next year’s budget”.
“These are all shield solutions – anti-inflation shield, anti-Putin shield, solidarity shield, various allowances and tax cuts,” Sobon said.
Under a budget bill approved by the government for 2023, revenues are expected to reach PLN 604.7 billion (EUR 125.7 billion) and spending is planned not to exceed PLN 672.7 billion (EUR 139.8 billion). Poland’s budget deficit is likely to come to PLN 68 billion (EUR 14.2 billion). The 2023 budget is based on an expected GDP growth rate of 1.7% and an average annual CPI forecast of 9.8%. (The First News/Business World Magazine)