January's debt servicing cost the state $40 million

Poland paid the equivalent of $40 million in debt servicing costs, den ominated in euros and US dollars, to cover interest and parts of capital payments in January, the Finance Ministry said yesterday. January payments included a total of $22.5 million and euro 16.6 million. The ministry would not comment on whether any of the hard currency used to cover January's foreign debt payments was bought through the foreign exchange market. The government plans to start buying foreign currency on the market in the first quarter to pay interest on the nation's external debt, hoping to weaken the zloty. January's payments included interest paid to the Paris Club and other financial institutions. In total, Poland has to pay about $1 billion to service its debt this year. (Reuters) A.K.