No breakthrough in the "Year of Breakthroughs". Is there disinflation?

POLAND - In Brief 19 Feb 2025 by Jan Hagemejer

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Governments ambitious (?) investment plans This text borrows from an article that Jan Hagemejer published with CASE's Andrzej Robaszewski on Monday in a Polish leading newspaper – Rzeczpospolita. Introduction On February 10, 2025, Polish Prime Minister Donald Tusk unveiled an economic plan titled “Poland. The Year of Breakthrough” during a conference at the Warsaw Stock Exchange. The plan outlines a strategic vision for economic development and focuses on six key areas: Investment in Science – The government aims to increase funding for research and development, emphasizing that every $1 invested generates $4 to $7 in return. Recent allocations include $125 million for the National Science Center, $375 million for universities, and $25 million for Polish Academy of Sciences institutes. Energy Transformation – Poland plans to expand renewable energy sources, including offshore wind farms, and build nuclear power plants. Tusk announced the identification of a second nuclear power plant site, emphasizing the role of private capital in financing. Modern Technologies – The government seeks to attract investments from global tech giants. Talks are ongoing with Microsoft and Google, whose representatives are expected to visit Poland soon to finalize investment plans. Infrastructure Development (Ports & Railways) – By 2030, Poland plans to triple cargo capacity in its ports. Additionally, $45 billion will be invested in the railway sector over the next seven years to enhance logistics and national security. Dynamic Capital Market – Strengthening Poland’s capital market is a priority, aiming to boost investments and innovation in domestic businesses. Support for Businesses – Tu...