Kolodko's reforms do not guarentee growth - Piechota

Deputy Labor and Economy Minister Jacek Piechota said at a meeting organized by the Polish American Chamber of Commerce yesterday that the package of public finance reforms proposed by Grzegorz Kolodko does not guarantee economic growth. He added that the perseverance of the Finance Ministry in restructuring public finances has failed to meet the expectations of Polish businessmen as well as foreign investors. "It is difficult not to sympathize with Polish entrepreneurs who claim that this reform is unsatisfactory," said Piechota. In related news, the government may give state-owned shares in listed companies to a restructuring agency as part of its rescue plans for its troubled shipbuilding sector. "We are planning to raise the capital of the Industrial Restructuring Agency (ARP). The scale of the capital increase will depend on the restructuring programs to be submitted by the management boards of the companies," Piechota added. The plan, which is subject to approval by the cabinet, calls for a transfer of state-owned stakes in two shipbuilders and a ship engine producer to ARP which will arrange future financing for the sector. (www.onet.pl; Reuters) A.Z.