Something is happening in Germany, the effects of which will also be felt in Poland.

• German industry has unexpectedly started recording better results in recent months, although the Bundesbank warns that the improvement may be short-lived.
• However, economic growth may be supported by growing domestic demand and improved export prospects, although consumption is unlikely to accelerate.
• The condition of the German economy is also of key importance for Poland, so any recovery beyond the Oder would be beneficial for us.

Surprisingly, German industry has been showing signs of improvement in recent months. However, the Bundesbank believes this won't last long, as it remains uncompetitive and is now further burdened by tariffs from the United States.

However, other growth factors are also visible:

• for example, demand in the economy is slowly starting to grow,
• German exports may also look better than in the difficult second quarter;
• However, the bank does not expect a more significant increase in consumption, as employment in Germany is not growing and the rate of wage growth is expected to be increasingly slower.

Germany's GDP fell by 0.3% in the second quarter, while according to many analysts' and official institutions' forecasts, our western neighbor's economy was expected to see a return to modest growth in the second half of the year.

Germany is our most important trading partner, so the economic situation there could also impact the rate of economic growth in Poland. From our perspective, a potential economic recovery in Germany would therefore be desirable and positive.