The government increases Poland’s budget deficit by half and scales down growth predictions, but analysts say this country is coping well with the global crisis.
Krystyna Kolosowska reports
Poland’s budget deficit will be increased by nine billion zlotys, that is by half – rising to 27 billion zlotys. The government plans no tax rises this year, but such a move is likely in 2010. Finance minister Jacek Rostowski said this decision was necessary because the economic slowdown proved bigger than expected. In effect, the budget gap rose to 37 billion zlotys.
Economic analysts positively appraise the moves announced by the government. Professor Witold Orlowski says that while the increase in budget deficit is big – the situation is not dramatic. He says that Poland is coping with the crisis better than many other countries. This is also the view of IMF official Alexander Hoffmaister.
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