July 2025 confirmed that Poland’s service sector continues to be one of the main drivers of economic growth. According to the latest data from Statistics Poland (GUS), service output increased by 7.5% year-on-year and 0.3% month-on-month. After adjusting for seasonal factors, growth stood at 6.5%, indicating that the sector remains resilient despite signs of selective slowdown in certain industries.
“The service sector remains in good shape, but we can see signs of selective deceleration. Growth in knowledge-based industries signals that the structural transformation of the economy is progressing. Weaker results in real estate and advertising are a natural reaction to business caution in the second half of the year. Still, services remain the key source of GDP growth,”
said Piotr Soroczyński, Chief Economist at the Polish Chamber of Commerce (KIG).
Stable Growth Despite Seasonal Slowdown
July brought another month of positive results for the service sector. Although the monthly growth rate (+0.3%) was lower than in June (+5.6%), it is important to note that July marks the start of the holiday season, when activity in some industries traditionally slows. Nevertheless, the annual growth rate of 7.5%, close to June’s 6.7%, confirms a stable upward trend.
The strongest growth was recorded in transport and storage, information and communication, and professional, scientific, and technical activities.
Transport and Logistics Drive the Service Economy
The transport and storage sector saw production rise by 7.6% month-on-month and 6.9% year-on-year, fueled by strong domestic and international freight demand and ongoing expansion of logistics infrastructure.
Postal and courier services posted particularly strong results, with output surging 25.1% month-on-month, reflecting the continued growth of e-commerce and the rising volume of parcel deliveries.
Knowledge-Based Industries with Double-Digit Growth
Knowledge- and technology-driven sectors also showed impressive momentum. Output in professional, scientific, and technical activities increased by 12.6% year-on-year, while information and communication services rose by 12.5% year-on-year.
Particularly strong growth was seen in architectural and engineering services and technical research, which jumped 31.6% month-on-month. The rebound in these segments is linked to infrastructure investments and rising demand for design and audit services.
Notable increases were also observed in television broadcasting (+54.9% y/y), information services (+27.7% y/y), and legal, accounting, and tax advisory services (+19.0% y/y). These trends suggest that technological progress and the growing complexity of business processes are fueling demand for specialized expertise.
Real Estate and Advertising Weaken
In contrast to the dynamic tech-related segments, real estate services experienced declines — down 9.0% year-on-year and 3.1% month-on-month. Analysts attribute the downturn to investor caution and a slowdown in the commercial property market.
The advertising and market research segment also saw a sharp decline of 19.1% month-on-month, suggesting that companies are cutting marketing budgets amid economic uncertainty.
“Weaker results in the advertising industry are typical of a cautionary phase in the business cycle. Firms are scaling back promotional spending and image investments, waiting for clearer signs of demand recovery in the fourth quarter,”
noted KIG analysts.
Hospitality and Food Services Hold Steady
The accommodation and food service sector maintained a positive trajectory in July (+1.7% y/y, +1.3% m/m). The holiday season supported tourism demand, although its growth was tempered by rising labor and energy costs and weaker foreign visitor flows.
Administrative and Support Services with Modest Gains
Administrative and support activities — including cleaning, leasing, recruitment, and office outsourcing — rose by 0.6% month-on-month and 2.8% year-on-year. This steady but moderate growth indicates that companies continue to rely on auxiliary services, albeit with more cautious cost management.
Signals of Structural Transformation
GUS data for July show a gradual transformation within the service sector: high value-added industries tied to technology, knowledge, and data analytics are gaining importance, while traditional segments such as real estate and advertising are cooling amid slower investment activity.
“Growth in knowledge-based services is a positive sign for the Polish economy. It shows that companies are investing in skills and technologies, which fosters productivity and innovation in the long term,”
emphasized Piotr Soroczyński of KIG.
Services Remain the Pillar of GDP Growth
July 2025 confirmed that services remain a cornerstone of Poland’s GDP growth, despite seasonal slowdowns and uneven performance across industries. Gains in transport, logistics, technology, and professional services continue to offset declines in real estate and advertising.
If strong demand for technological and logistics services persists through the second half of the year, Poland’s economy could close 2025 with solid service-sector growth — highlighting the ongoing structural shift toward a knowledge-based, high-value service economy.
