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Euro 2012
2008-02-17
Statement by Adam Olkowicz, head of the Euro 2012 Preparatory Group in the Polish Football Association
REKLAMA
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Polish Market
ECONOMIC MONITOR
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As in other “new” EU countries, the slowdown in economic growth visible in Poland in the first half of this year was milder than in the euro zone and the United States.
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Industrial production growth in May was lower than expected, however not due to diminished demand for products but because of two bank holiday weekends.
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In June 2008 the outlook for the manufacturing sector was positive
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The successive months of 2008 show that the present high growth in construction can be sustained provided that barriers hampering the sector are gradually removed.
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Services – a fast-rising economic sector.
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The first half of 2008, especially the 2nd quarter, witnessed rising consumer prices.
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Exports, imports down
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Employment up, unemployment down
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Budget deficit in first half of 2008 smaller than last year
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The National Bank of Poland inflation report contains economic policy recommendations for the coming years.
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WEEKLY MARKET ANALYSIS
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The release of retail sales data for July and a decision on interest rates will be the most important developments on the financial market this week. We expect that retail sales rose in July by 15.1% y/y while the market consensus is 14%. We also believe that interest rates will remain unchanged in August but will be raised later in the year. Although the rate of economic growth slowed, which is an argument for those who oppose any further tightening of the monetary policy, a majority of the Monetary Policy Council members may decide to raise interest rates once again this year because inflation is still high, running much above the target, and wages grow faster than labour productivity.
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