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Poles anxious amid growing inflation

11.06.2022 11:00
Over 40 percent of Poles declare they are to purchase cheaper food products amid anxiety caused by growing inflation and the war in Ukraine, according to a new report by the Polish Economic Institute (PIE), a state-run think tank.
Central bank chief Adam Glapińskiduring a press conference in Warsaw
Central bank chief Adam Glapińskiduring a press conference in WarsawPhoto: PAP/Rafał Guz

The study also said 76 percent of Poles fear food prices may still go up.

Poles are also less likely to buy local Polish food, focusing on the price rather than other factors, while doing their groceries.

Although in recent years, eco-friendly trends in the food sector were increasingly popular, organic, and eco-friendly produce is becoming less popular, due to surging consumer prices.

Poland’s central bank (NBP)’s Monetary Policy Council on Wednesday raised key interest rates for the ninth time in succession in a bid to tackle the inflation.

The reference rate went up by 75 basis points to six percent, from 5.25 percent, as inflation reached 13.9 percent at the end of May, according to a flash estimate by the country’s Central Statistical Office (GUS). 

Polish Prime Minister Mateusz Morawiecki in April set out a range of policies to protect borrowers from the effects of inflation and rising interest rates.

He has told reporters that much of the inflation in the country is due to Russia's war against Ukraine, while also accusing Russia of seeking “to drive up inflation in Europe.”

Morawiecki said in late April: “Russia has not only made a brutal, murderous attack on Ukraine … it has assaulted the energy and food security of all of Europe.”

The Polish central bank in March predicted that inflation in the country would stand at 10.8 percent in 2022 on average, followed by 9 percent in 2023 and 4.2 percent in 2024.

Poland's government in mid-March came up with a raft of measures to mitigate the impact of Russia’s invasion of Ukraine on the Polish economy and society.

Central bank chief Adam Glapiński earlier this year vowed to do all it takes to ensure a lasting reduction in inflation.