The condition of companies is worsening
Companies see the future in black colors. Their liquidity and ability to pay their obligations look worse and worse.
The latest analysis by the National Bank of Poland (NBP) on the situation of the business sector shows that companies have a much worse assessment of their economic condition for the last quarter of this year and the next twelve months than a year ago. This applies to most industries. Only the largest entities and energy-related companies see the future in optimistic colors. With that said, business is suffering primarily from rapidly rising prices and costs, particularly for electricity.
Entrepreneurs believe that demand for their products and services will fall at home and rise abroad. They are also counting on a drop in profitability in the near term. Their liquidity is definitely worse. On top of that, the ability to pay bank and non-bank obligations on time has fallen. Demand for workers is still high, but entrepreneurs have less and less room for increases.
