Government to analyze state spenditure of state owned companies

In 2002, the state spent over zł. 10 billion supporting companies, mainly state-owned ones, which constituted 1.3% of GDP or zł. 1,002.49 per every working person. The government will analyze on Tuesday a report concerning this issue. Over half of this sum was spent on subsidies and tax exemptions. The biggest financial support was given to state railways PKP, which received zł. 2.3 billion, and the second biggest to the Polish mining sector, which was subsidized with zł. 1.7 billion. According to the authors of the report, the value of state aid given to different mining companies was different, which "could pose a threat of limiting competition in the sector". However, the conclusion stated that the necessity of providing help was due to the need of continuing the restructuring process. Moreover private companies received in total slightly over zł. 100 million in public aid. (Rzeczpospolita, pp. A1, B1) M.M.