The jobless are rising

Poland's unemployment rate increased to 18 percent in January from 17.6 percent in the previous month, according to the Central Statistical Office (GUS). The January jobless rate was just below the 18.1 percent predicted by analysts.

The news came after central bank chief Leszek Balcerowicz urged the government to embrace spending cuts, privatization and liberalization to secure faster growth. Balcerowicz said the government faced a stark choice of accelerating reforms or falling behind other Central European economies.

"We need four reforms for stronger growth: the healing of public finances; allowing the market to operate where it is paralyzed by regulations; making courts more efficient; and removing politics from companies," Balcerowicz told public radio. "High unemployment comes from blocking reforms. State intervention causes unemployment," he said. (Reuters)