Economy
5:23 29 August 2025
Post by: WBJ

Government unveils 2026 budget

Government unveils 2026 budget
Source: Shutterstock

The Council of Ministers has approved Poland’s 2026 draft budget, outlining growth forecasts, spending priorities, and a record deficit. Finance Minister Andrzej Domański said GDP is expected to rise 3.5% with average inflation at 3%, while wages should grow 6.4% in nominal terms. Expenditures will total PLN 918.9 billion, producing a deficit of PLN 271.7 billion (6.5% of GDP).

Defense remains the largest item, with PLN 200 billion (4.8% of GDP) earmarked—the highest share in NATO. Other priorities include health spending of PLN 247.8 billion, up PLN 25 billion from 2025, as well as investments in the Central Communication Port (CPK), rail modernization, housing, and social programs.

Public debt is forecast at 53.8% of GDP, partly inflated by EU recovery loans. Economists note the plan implies limited fiscal consolidation and relies on optimistic revenue assumptions.

Source: money.pl


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