State Asset Ministry: raising child subsidy to PLN 800 will not fuel inflation

The planned indexation of the "Family 500+" program to 800 zlotys per month from January 2024 is expected to increase financial assistance to households by approximately PLN 24 billion annually. The Ministry of State Assets stated that this will have a positive impact on the Polish economy without hindering the fight against inflation. The analysis suggests that the higher demand resulting from the increased benefit level will have a practically neutral effect on the inflation rate.

It is anticipated that higher household income and wealth will stimulate a slight increase in private consumption and investments, leading to a 0.25% growth in real GDP in 2024. The number of working women has also increased since the program's implementation.

Source: wnp.pl