English Section

Fitch affirms Poland's 'A-' rating, stable outlook

25.07.2022 06:00
International ratings agency Fitch has affirmed Poland's "A-" credit rating with a stable outlook.
Photo:
Photo:PAP/EPA/JUSTIN LANE

Fitch, one of the world’s "Big Three" credit rating agencies, cited Poland's "diversified economy," coupled with "a fairly sound macroeconomic framework anchored by EU membership and lower public debt levels than rated peers."

The agency said late last week it expected that the Polish economy "will remain resilient to external shocks and growing macro-economic challenges, due in part to a stable fiscal position and an improved external balance sheet."

Fitch added that it expected Polish GDP growth to average 5.5 percent in 2022, following 5.9 percent growth in 2021, "reflecting a large carry-over effect but also highlighting a remarkable degree of resilience to the pandemic and Ukraine conflict shocks in recent months."

However, the agency predicted that the Polish economy would "slow rapidly" in the second half of this year "as high inflation and weak external demand affect consumption, investment and exports."

Poland’s Finance Minister Magdalena Rzeczkowska has welcomed the rating action by Fitch, saying it confirmed the country had "solid growth prospects" and "high resistance to external shocks and growing macroeconomic challenges."

The European Commission this month raised its forecast for Polish economic growth in 2022 to 5.2 percent, from a previous projection of 3.7 percent.

The Polish economy grew 8.5 percent in the first quarter of this year, according to the country’s statistics office.

(gs)

Source: PAP, fitchratings.comgov.pl