Poland’s investment outlook improves
Poland's investment activity is expected to rebound in 2025, driven by National Reconstruction Plan (KPO) spending, though private sector uncertainty persists, says Maciej Stefański, senior economist at EY. The key risks include global trade policies and high interest rates.
Stefański notes that government investments, particularly in infrastructure, energy, and science, will accelerate, but private investments remain sluggish due to elevated borrowing costs and weaker corporate profits. EY forecasts a 7% rise in total investments in 2025, followed by 6.4% in 2026.
Prime Minister Donald Tusk recently outlined an economic strategy emphasizing investment, deregulation, and technological development. While international tech firms have pledged investments, Stefański stresses the need to support domestic innovation.
Interest rate cuts, expected in July, may further stimulate investment, though trade policy uncertainty remains a key concern. The war in Ukraine is unlikely to significantly impact Poland’s short-term investment climate.
