Amid the encircling gloom, a boost for the Polish economy on Tuesday: Volkswagen is to spend around 3.4bn zlotys ($1.1bn) to build a factory at Września in Poland’s Wielkopolska province. It will make VW’s Crafter delivery vans, currently built under contract by Daimler at two German factories, from the end of 2016. “Volkswagen has trusted the Poles once again,” said Janusz Piechociński, deputy prime minister. Continue reading »
Nothing like a foreign policy crisis to concentrate the mind.
Poland’s potential adoption of the euro, which had been pushed off to the end of the decade under political, economic and constitutional difficulties and lacklustre public support, has been given a jolt of energy by Russia’s creeping invasion of Crimea. Continue reading »
Rumours have been rife in Vilnius for months that PKO BP, Poland’s state-owned bank, the country’s biggest, is preparing an entry into Lithuania’s banking sector.
Should we take the rumours seriously? Continue reading »
Central Europe’s leading economies have strapped on afterburners, with new manufacturing PMI data released Monday showing a strong recovery in Poland, the Czech Republic and Hungary.
In Poland, the region’s largest economy, the improvement in business conditions was the strongest in three years. The headline PMI number, in which anything above 50 marks an economic expansion, came in at 55.4 for January, up from 53.2 in December. Continue reading »
Poland’s economy turned in an unexpectedly strong performance last year, growing by 1.6 per cent according to data released Thursday, but that did not stop the zloty from losing strength against the dollar and euro amid continued emerging market worries.
The economy’s expansion surprised on the upside – most analysts had pencilled in only about 1.5 per cent growth. The final result for the year was also significantly higher than had been expected just a few months ago, when first quarter growth slowed to only an annual 0.5 per cent. Continue reading »
Amazon’s Christmas season was marked by labour unrest at its German warehouses, and as the US retail giant expands into central Europe, building five centres in Poland and the Czech Republic, it is hoping that unions do not follow.
“In terms of unions themselves, we don’t see a need for that,” Tim Collins, director for Amazon´s EU logistics operations, told beyondbrics. “Any friction that gets between us and our associates slows down innovation, slows down change, slows down improvements on the shop floor, and we don’t see that as being good at all.”
However, the Solidarity labour union, heir to the organisation that helped end communism in Poland, plans to support any unionisation drive among Amazon’s Polish workers. Continue reading »
Real estate can be an alluring post-crisis investment. Just ask punters who poured money into the US market a couple of years ago, or those now sniffing around Spanish property. The same applies to central European real estate, which last year saw a 31 per cent increase in investments, to €10bn.
That makes 2013 the second busiest year for transactions since pre-crisis 2008. Continue reading »
By Kinga Dudzińska and Anna Maria Dyner of PISM
To the west, relations between Poland and Russia are often perceived as negative, mainly due to their history. However, one evident success of their bilateral cooperation in small border traffic (SBT) between northern Poland and Kaliningrad Oblast, with almost a year and a half of evidence showing it’s working well. Continue reading »
It’s not often that banking regulators are on the receiving end of praise. More often than not they’re only noticed after something goes badly wrong. But Poland’s regulator has got a lot right in its approach to foreign exchange mortgages – allowing Polish borrowers to deal rather better with forex loans than their near neighbours in Hungary. Continue reading »
Poland’s central bank has already indicated that there is not much chance of it increasing record-low interest rates before mid-2014, and Friday’s unexpectedly low inflation readout will do little to change that assessment. Continue reading »
Initial public offerings, especially those tied to privatisations by Poland’s treasury ministry, have the reputation for being money spinners, but there is no such thing as a risk-free investment, as punters are learning on Wednesday on the Warsaw Stock Exchange. The shares in Energa, the country’s third largest power distributor, sagged in the first hours of trading.
Energa launched on the WSE in a privatisation worth 2.4bn zlotys ($787m), the bourse’s largest IPO in two years. Continue reading »
Poland’s troubled Lot Polish Airlines is getting a helping hand from Boeing: the US aircraft manufacturer stuck an agreement with the carrier, which had complained about losses incurred after two of its 787 Dreamliner planes were pulled from service due to faulty batteries. Continue reading »
Poland’s parliament may have rushed through a dramatic change to the country’s pension system in only four days last week, but the revamped pension scheme still faces possible legal and constitutional challenges.
Poland became just the latest CEE country to take an axe to a pension system that became popular across the region a decade ago, but is being revamped or rejected because running costs have turned out to be significantly higher than predicted. Continue reading »
Poland has the EU’s best growth record in the last five years, but there is a growing awareness that keeping growth high is going to be increasingly difficult in the future – which is why two recent reports on corruption and educational achievements make such good news. Continue reading »
Central European manufacturing continues to show signs of strength in new purchasing managers index reports released on Monday, indicating that the region is rebounding from the slowdown it experienced late last year and in the first half of this year.
In Poland, the largest CEE economy, manufacturing came in at its strongest level in more than two years. The PMI index, where anything above 50 indicates expansion, was 54.4 in November, up from 53.4 in October. Continue reading »