17:55 6 October 2025
Deficit in Poland closing in on statutory limit
Poland’s Ministry of Finance aims to avoid amending the 2025 state budget, even though the deficit is nearing the legal limit of PLN 288.8 billion. After August, the rolling 12-month deficit reached PLN 294 billion, meaning spending must tighten in the year’s final months. Revenue shortfalls—mainly from weaker VAT income due to lower inflation—and pandemic-related debt repayments have strained finances.
Minister Andrzej Domański insists the budget remains on track, but economists note the ministry will likely rely on “natural savings,” slower VAT refunds, or shifting some expenses to early 2026. Other tactics could include rolling over bonds or transferring spending outside the central budget. Experts believe a formal amendment is politically undesirable and likely to be avoided.
(pb.pl)
