Morgan Stanley ups Polish GDP projection

The American multinational financial services corporation also revised upwards its forecast for 2017, saying it expects the Polish economy to grow 3.6 percent, up from a previous projection of 3.4 percent.

Morgan Stanley said a flagship government law introducing new state benefits – a measure expected to encourage more spending by households – would boost the Polish economy.

In a move aimed at counteracting a looming demographic crisis, Poland’s ruling Law and Justice (PiS) party has introduced a “500+” programme designed to ease the burdens of child-rearing by giving all families with two or more children a handout of PLN 500 (USD 130, EUR 117) a month per child, regardless of their income level.

Poland’s 2016 budget, signed into law by President Andrzej Duda earlier this month, is based on a projection of 3.8 percent GDP growth. (pk)

Source: PAP