world-economy

Poland's Q1 Growth Disappoints as Rate-Hike Outlook Clouds

Poland's first-quarter economic expansion fell short of forecasts, raising questions about the central bank's inflation-fighting approach even as price pressures persist across the region. Central bank Governor Adam Glapinski indicated rate increases have become more probable in recent weeks, though policymakers stopped short of committing to action. The weaker growth reading contrasts with resilience elsewhere in Europe, where some economies are sustaining momentum despite energy headwinds. Regional peers are adopting measured stances on monetary policy. The Czech Republic plans to hold rates steady while assessing fuel-cost impacts on consumer spending and output. Meanwhile, commodity inflation shows signs of moderating, offering some relief to businesses managing input costs. Policymakers across Central Europe face diverging growth trajectories, forcing them to balance price stability against economic slowdown risks.