Polish economy improves due to a more favorable external environment .
According to a report released this week by the Polish Market Review, The improvement in the export performance finally started reducing worries about the short and medium-term stability of the economy. However, though this rise in exports might have fueled the country s recent economic growth, it might also have added to inflation fears, according to the Review. Between January and June, consumer prices rose by more than 10 percent. Also adding to inflation fears was the recent political turmoil and the breakup of the ruling coalition. Because of these factors, the Review says, doubts have started to emerge regarding the ability of the government to continue the necessary fiscal tightening in 2001.