WARSAW, Oct 22 - The International Monetary Fund (IMF) has emphasized the need for Poland to undertake reforms to maintain its economic growth trajectory. IMF officials highlighted Poland's impressive economic transformation over the past three decades but warned of potential headwinds.
Geoff Gottlieb, IMF senior regional representative for Central, Eastern and South-Eastern Europe, noted that Poland has demonstrated strong fiscal credibility, aided by low public debt and a commitment to fiscal consolidation. The Polish government aims to reduce its budget deficit to below the European Union limit by 2028 and decrease its debt-to-GDP ratio by 2030.
The IMF forecasts a 3.5% growth for Poland in the coming year, with expectations of 3.9% growth in 2025. However, Gottlieb suggested that the government should consider front-loading fiscal adjustments during periods of strong growth to enhance credibility.
IMF officials pointed out several challenges that could impact Poland's medium-term growth, including an aging population, increased military spending, and necessary climate investments. They recommended targeted reforms to social benefits and adjustments to tax structures to align with other EU nations.