Kotecki Says Polish 2013 GDP Forecast ‘Probably’ Below 2.5%

Poland’s government will have to revise down its 2013 economic-growth forecast to “probably” below 2.5 percent, Ludwik Kotecki, chief economist at the Warsaw-based Finance Ministry, said today in an interview on Radio Tok FM.

“As the data from the European Union get worse, we need to adjust our growth forecast,” Kotecki said. “Instead of accelerating growth, we will see a slowdown to probably below 2.5 percent, but probably not less than 2 percent.”

Prime Minister Donald Tusk’s Cabinet approved in June a 2013 budget plan assuming economic growth will accelerate to 2.9 percent from 2.5 percent this year. Eight of the euro area’s 17 nations are in recession, while the bloc’s manufacturing gauge fell to a 37-month low in June, according to an Aug. 1 report by London-based Markit Economics.

The Finance Ministry will finish revising next year’s draft budget at the end of this month, Kotecki said. The government’s 2.5 percent forecast for GDP growth this year “is not at risk,” he said.

The zloty fell to 4.0789 per euro at 4:41 p.m. in Warsaw, weakening for a second day from a one-year high reached on Aug. 6. The yield on the 10-year government bond rose 2 basis points, or 0.03 percentage point, to 4.88 percent, according to data compiled by Bloomberg.

To contact the reporters on this story: Dorota Bartyzel in Warsaw at dbartyzel@bloomberg.net

To contact the editor responsible for this story: Balazs Penz at bpenz@bloomberg.net

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