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Lewiatan Business Index edges up in August


The annual PKPP Lewiatan Business Index gained one point in August to stand at 51 points, the Polish Confederation of Private Employers (PKPP) Lewiatan announced. The quarterly index rose by a similar amount, to 53 points.

According to the PKPP, this suggests that the anticipated slowdown of economic activity in Poland – caused by the deterioration in global conditions – is unlikely to occur before the fourth quarter, if at all, and in any case will not have a material impact on the level of economic growth in 2011 as a whole. The figures for GDP growth in the second quarter lend strong support to this prediction, with seasonal-adjusted growth actually accelerating compared with Q1. Though consumption slowed slightly in April-June, investment activity quickened and exports also put in a strong performance. Clearer signs of a slowdown emerged only in July and August, in industrial-output and retail-sales figures, the Confederation noted.

The PKPP Lewiatan Business Index is constructed on the basis of market prognoses prepared by Poland’s leading economists for the current quarter, half year and full year. It is measured on a 100-point scale, where a score of 50 corresponds to an economic growth forecast of around 4% of GDP annually.

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