I predict, like the analysts of the National Bank of Poland, that inflation in Poland will reach twenty percent. This means a dramatic decrease in the value of savings, an increase in the cost of public debt servicing and, in general, a very difficult situation in public finances, said Marek Belka, former president of NBP, in “Fakty po Faktach”. “These are the elements of the crisis,” he added.
Former head of NBP and former prime minister, currently MEP Marek Belka was asked in “Fakty po Faktach” on TVN24 about the words of NBP president Adam Glapiński, who claimed that in our country there is no economic crisisand also that interest rates are at the “optimal” level.
Commenting on interest rates, Belka said that he would never describe it that way. – I know that raising interest rates to the current level inflation does not make sense. Firstly, we would have to fight for interest rates not to be negative in real terms (interest rates minus inflation – ed.), but in relation to expected inflation. And the society expects inflation as mentioned by the National Bank of Poland. As long as she trusts him. We have to work with it,” he said.
– This is what the society is about to be convinced that President Glapiński, the National Bank of Poland, the Monetary Policy Council, treat the inflation target very seriously – emphasized Belka. The NBP’s target is inflation of 2.5 percent. with a deviation of 1 percentage point.
“These are the elements of the crisis”
Commenting on Glapiński’s words about the lack of economic crisis in Poland, Belka noted that “the crisis has different faces”. – Certainly, inflation close to twenty percent, and I predict, and not only me, but, for example, analysts from the National Bank of Poland, that inflation will reach twenty percent, it is difficult to say that this is not a crisis situation – he said.
– After all, this is followed by a dramatic decrease in the (real value) of savings, and an increase in service costs public debt and, in general, a very difficult situation in public finances, he enumerated. “These are the elements of the crisis,” he concluded.
NBP President Adam Glapiński said during Thursday’s press conference that the current situation in Poland is commonly called a crisis, but “there is no crisis in the economic sense”. – All the time our GDP, our national income is growing, the economy is developing, there is no unemployment, on the contrary (…), there are no bankruptcies. It can be said that Poland’s economic and financial situation is exceptionally good against the background of European and EU countries, he said.
Main photo source: TVN24