S&P maintains Poland's rating at BBB+ with negative outlook

On July 1, 2016, rating agency Standard and Poor's affirmed its long- and short-term foreign currency sovereign credit ratings on the Republic of Poland at 'BBB+/A-2' and its long- and short-term local currency sovereign credit ratings at 'A-/A-2'. The outlook is negative. The agency remains concerned about the independence of the National Bank of Poland (NBP), among other factors, following changes to key institutions after last year's parliamentary election. However, it notes Poland's relatively moderate external financing needs and strong growth potential. The negative outlook reflects S&P's view that there is at least a one-in-three likelihood that the agency could lower the ratings within the next 18 months if monetary policy credibility is undermined or if public finances deteriorate beyond current expectations.