Poland faces widening budget deficit as economic growth model shifts
Poland's state budget deficit reached 141 billion zlotys in July, prompting economists to warn that the country's consumption-driven growth model needs structural reforms.
Poland's state budget deficit reached 141 billion zlotys by late July, according to preliminary Ministry of Finance data, rising from 123.7 billion zlotys at the end of June. Total spending reached nearly 475 billion zlotys, while revenues stood at approximately 334 billion zlotys, both representing roughly 51.6% of annual projections.
Economic analysts warn that Poland's long-term growth model, historically driven by private consumption, faces mounting structural constraints. European Commission forecasts suggest Poland could record the highest deficit relative to GDP in the European Union by 2026. Experts from leading domestic financial institutions emphasize that sustaining competitiveness will require shifting focus toward capital investment, addressing elevated energy costs, and managing labor market shortages.
Sources: Money, Rzeczpospolita, TVP info


