How is polish economy

Why Poland. They invested with us Investment incentives Polish regions Sectors Polish law. The economy Poland was one of the fastest-growing economies worldwide pre-crisis and has been the fastest-growing economy in post-crisis Europe.

The last 26 years have showed a huge potential in Polish economy:. Along splendid economic growth pace, Poland has been increasingly competitive abroad, as seen in ever-growing exports figures. Poland, for the first time in its history, has noticed a positive trade balance EUR 3. Exports have increased by astonishing For most of the past year, Poles could still go to a shopping mall or even visit a sauna.

Our intuition is that the Polish approach put less burden on the economy, while the British one is probably more effective in limiting virus transmission. This is supported by the data relating to the total death toll during the pandemic. Then, however, the situation was almost reversed during the autumn second wave.

In the year between March and March , the UK lost almost , additional lives, while Poland lost more than 95, Virtually all of the difference falls on the second wave. Moreover, the composition of the Polish economy also makes it more resilient to lockdown measures. Since a smaller part of the economy had to hibernate, the direct effect on GDP was less negative.

But there was also a second, indirect, channel. Poland is the only big EU country that has a growing share of manufacturing in both employment and production.

This kept more of the economy humming when the service services sector had to be locked down. Also, thanks to this, the country was able to benefit from the global shift in consumption from services to durable goods induced by the pandemic.

Size matters too. A big domestic market reinforces the positive effects of the business-friendly lockdown and a resilient economic makeup.

Smaller countries in the region, such as Hungary or Slovakia, are more dependent on the economic situation in the rest of Europe. The larger economic fallout in Germany or the UK will thus drag down smaller economies more. Poland and the UK pursued different paths during the first and second waves of COVID, providing a natural experiment on how the form and timing of lockdown policies can affect economic slowdown and virus containment.

Moreover, the sectoral composition of the economy and geographical distribution of the population also play crucial roles.

Although the performance of the Polish economy during the pandemic appears surprisingly robust, we do not think it was the result of a thought-through strategy. On the contrary, percentage points in GDP figures can never justify the price of almost , excess deaths. A price that, as the first wave in Poland demonstrated, was entirely avoidable.

Note: This article first appeared at Notes From Poland and is republished with permission. Featured image credit: European Council. Since he has also held a position in the Institute of Economics at the Polish Academy of Sciences.

From the standpoint of living in Poland, I think your analysis is bang-on. It will also reduce the incentive for self-employment, a pandemic-resilient feature of the economy which was not discussed in the article.

I do not think it was luck. Poland was one of the EU countries which immediately closed its borders and introduced social distancing in response to pandemic. This allowed to reopen economy relatively fast and to avoid overreaction to the second waive. This site uses cookies to optimize functionality and give you the best possible experience.

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