|GDP, current US$ billion||628.2|
|GDP per capita, current US$||16,543|
|Life Expectancy at Birth, years (2017)||77.9|
Before the coronavirus outbreak hit the global economy, Poland was among the fastest-growing economies in the European Union (EU). Household consumption, fueled by increases in budgetary expenditures, a tight labor market, and rising wages, continued to grow.
This, together with continuing low interest rates and the execution of European funds–related investments, helped Poland’s economic growth prospects.
In the short-term, however, the main challenge is to mitigate the social and economic impact of the COVID-19 pandemic. Although the full impact of the virus remains uncertain, a prolonged outbreak would significantly curb economic activity, strain the health care system, affect supply chains, and depress investor sentiment and consumer demand, ultimately impacting the supply side and leading to a deeper recession.
Under such a downside scenario, the economic and fiscal impact in 2020 would be more severe, with implications for jobs and poverty. On the positive side, Poland has the fiscal and monetary space to mitigate the adverse effects of lower global and domestic demand and shield its financially vulnerable populations, potentially leading to a quicker rebound in 2021 and 2022.
The main medium-term challenge to sustained growth is a tightening labor supply exacerbated by an aging population.
Last Updated: Apr 16, 2020