Polish-Arab Bank to restore bonds with Middle East
During his visit to the Middle East last week, Prime Minister Leszek Miller made a united show of support with his Jordanian counterpart, Faisal Al-Fayez, for the creation of a Polish-Arabic trade bank. Officials close to the project promote it as a mechanism for providing a side channel to economic ties with Iraq, as well as a way of turning Poland's raised profile in the Middle East into real direct investment from wealthy Arab states.
The prime minister's endorsement came as the United States announced the speeding up of its timetable for free elections and self-government in Iraq. According to U.S. administration officials, Iraqis will be making all economic and financial decisions for their own country within a year.
For Deputy Treasury Minister Andrzej Szarawarski, the realpolitik of reconstruction is already in place. "We are here to try to open up another channel of economic cooperation through Iraq's neighbors," Szarawarski was quoted as saying in Jordan, "...the American channel is not effective."
Nevertheless, and even without clear financing institutions in place for Polish firms, business activity is creaking into motion. The first Polish company to win a reconstruction contract in Iraq, OPTO, has announced the successful signing of a $7 million (zł.27.3 million) deal to supply telecom systems and accessories. The firm's president, Andrzej Polowniak, has indicated that this is the first of many bids.
During the Iraq leg of the prime minister's trip, Polish companies with construction sector experience in Iraq were specifically invited to participate in the required building of two and a half million new homes. Poland has been formally invited by Iraqi authorities to attend a reconstruction trade fair in January 2004, where a glut of contracts will be available for tender.
Piotr Ciećwierz, President of the Polish-Arab Chamber of Commerce, expects that over the next few years the flow of investment will be far stronger from the Arab world into Poland than the other way round. This is his vision for the Polish-Arab trade bank. "We see particular potential for Arab investment into Poland in the construction and hotels sector. But even without the convenience of an Arab trade bank as it is now, there is significant activity." Ciećwierz points to the Al-Zameel steel investment and last month's Saudi delegation to the Szczecin shipyard hosted by Marek Pol.
"At the moment, Arab states can use German or other European banks," says Ciećwierz, "...but if they have their own bank here, they'll do more business here."
According to diplomats, the idea of an Arab bank was discussed well before the Operation for Iraqi Freedom. The original solution was to sell an established Polish bank or shares of an established Polish bank to Arab investors.
"It is still an early development of the closest bilateral relations," says Ciećwierz, "...but it is evidence that they are treating us seriously as a valuable emerging market."
The prime minister's endorsement came as the United States announced the speeding up of its timetable for free elections and self-government in Iraq. According to U.S. administration officials, Iraqis will be making all economic and financial decisions for their own country within a year.
For Deputy Treasury Minister Andrzej Szarawarski, the realpolitik of reconstruction is already in place. "We are here to try to open up another channel of economic cooperation through Iraq's neighbors," Szarawarski was quoted as saying in Jordan, "...the American channel is not effective."
Nevertheless, and even without clear financing institutions in place for Polish firms, business activity is creaking into motion. The first Polish company to win a reconstruction contract in Iraq, OPTO, has announced the successful signing of a $7 million (zł.27.3 million) deal to supply telecom systems and accessories. The firm's president, Andrzej Polowniak, has indicated that this is the first of many bids.
During the Iraq leg of the prime minister's trip, Polish companies with construction sector experience in Iraq were specifically invited to participate in the required building of two and a half million new homes. Poland has been formally invited by Iraqi authorities to attend a reconstruction trade fair in January 2004, where a glut of contracts will be available for tender.
Piotr Ciećwierz, President of the Polish-Arab Chamber of Commerce, expects that over the next few years the flow of investment will be far stronger from the Arab world into Poland than the other way round. This is his vision for the Polish-Arab trade bank. "We see particular potential for Arab investment into Poland in the construction and hotels sector. But even without the convenience of an Arab trade bank as it is now, there is significant activity." Ciećwierz points to the Al-Zameel steel investment and last month's Saudi delegation to the Szczecin shipyard hosted by Marek Pol.
"At the moment, Arab states can use German or other European banks," says Ciećwierz, "...but if they have their own bank here, they'll do more business here."
According to diplomats, the idea of an Arab bank was discussed well before the Operation for Iraqi Freedom. The original solution was to sell an established Polish bank or shares of an established Polish bank to Arab investors.
"It is still an early development of the closest bilateral relations," says Ciećwierz, "...but it is evidence that they are treating us seriously as a valuable emerging market."
