Poland’s individual consumption fell by some 0.9 percent in Q4 of 2012 and will likely fall in Q1 2013, the National Bank of Poland wrote in a report on the situation of households.

The report, which is based on estimates by the Economic Institute derived from the analysis of the Poland’s statistics office, also suggests subdued longer-term prospects for private consumption.

“Deteriorating negative consumer moods and weak prospects for income increases suggest the low growth rate of private consumption should hold in coming quarters,” the NBP said.
The main consumption indicators for January show continued decline and are close to those from the beginning of 2009, when the economic slowdown was at its worst in Poland.

NBP experts predict that consumers will keep their spending low in Q1 to increase consumption later in the year, but the growth in spending is not expected to be significant.

AS