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Inflation Expected To Accelerate to 8.2% in December

POLAND
  • This morning, PM Morawiecki told news portal Interia.pl that the government will announce a new anti-inflation package next week that could cost as much as 7bn PLN for 2022 budget.
  • Measures will include further VAT cuts on fuels for six months starting February 1st.
  • Labor Ministry also reported this morning that unemployment rate remained unchanged in December at 5.4%.
  • This morning (9am London time), investors will focus on December inflation, with CPI expected to accelerate to 8.2% YoY (up from 7.8% the previous month).
  • We have seen recently that the NBP staff reviewed CPI projections to the upside for 2022, now projecting inflation to peak in June (8.3% YoY) before starting to gradually decline.

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