Polish Q3 growth beats forecast, bodes well

Poland's economy expanded more than expected in the third quarter, by 1.7 per cent year-on-year, beating expectations and boding well for full-year growth in both 2009 and 2010. Analysts in a Reuters poll had expected the European Union's largest ex-communist economy to grow by 1.3 per cent year-on-year in the July-September period, only slightly faster than the 1.1 per cent reported for the second quarter. The zloty firmed 0.3 per cent in response and analysts said the recovery was progressing faster than had been expected. Deputy Prime Minister and Economy Minister Waldemar Pawlak said growth in all of 2009 could even reach 2 per cent compared to analysts' expectations of a 1.2 per cent expansion. "Signals from the market are positive and if there are no dangerous signals coming from financial markets, we may expect Poland's growth to be at around 2 per cent in 2009," Pawlak told reporters after the data was released.