Exchange Arrangements:

The zloty is freely floating.

Poland accepted the obligation of Article VIII, Sections 2, 3, and 4 on June 1, 1995. Poland maintains an exchange system free of restrictions on the making of payments and transfers for current international transactions, except for the exchange restrictions imposed by Poland solely for the preservation of national or international security as introduced by the European Union (EU) within the framework of the Common Foreign and Security Policy. The consolidated list of such sanctions is available at: http://eeas.europa.eu/cfsp/sanctions/consol-list/index_en.htm.

Article IV Consultation:

The last Article IV consultation was concluded on June 27, 2016. Directors noted that Poland enjoyed a strong economic expansion, reflecting progress in building strong fundamentals and policy buffers. They cautioned against a weakening of institutions and policies and encouraged the authorities to advance structural reforms to support inclusive growth. Specifically:

• Monetary policy. Directors noted that the accommodative monetary policy stance was appropriate but urged the authorities to remain vigilant if inflation expectations were to disappoint or if growth were to slow down sharply.

• Financial sector policy. Directors welcomed the strengthened financial sector frameworks. They expressed concerns about the new bank asset tax, which could undermine credit expansion and growth, and encouraged the authorities to consider a more growth-friendly tax. They noted that a case-by-case approach to restructuring foreign exchange-denominated mortgages rather than a blanket conversion would avoid destabilizing the financial sector.

• Fiscal policy. Directors concurred with the authorities’ medium-term objective of 1 percent of GDP structural deficit. Most Directors considered it necessary to resume fiscal consolidation without delay to take advantage of the favorable cyclical conditions. They recommended maintaining the 2011 VAT increase, rationalizing discretionary government consumption, and reducing sizable VAT policy and compliance gaps. They welcomed the authorities’ plans to strengthen tax administration, and encouraged the authorities to maintain the legislated retirement age increases, which would reduce the risk of old-age poverty, avoid adversely impacting the budget and improve labor force participation.

• Structural reforms. Directors encouraged the authorities to continue structural reforms to boost productivity and promote inclusive growth. They welcomed the authorities’ plans to increase access to vocational training and to promote innovation. Directors advised that reducing regional disparities would require improving educational attainment in Poland’s east, scaling up public infrastructure to attract investment to poorer regions, and facilitating labor mobility.

Resident Representative:

Mr. Bas Bakker is the Senior Regional Resident Representative for Central and Eastern Europe.

Republic of Poland: Technical Assistance from the Fund, 1992–2017

Republic of Poland: Technical Assistance from the Fund, 1992–2017

Department	Subject/Identified Need	Action	Date	Counterpart
MAE-Coordinated	Periodic visits by experts from central banks cooperating in providing technical assistance to the NBP under the coordination of MAE	Experts’ visits	1992–94	NBP
MAE	Payments system, banking supervision, monetary research and analysis	Mission	May 1992	NBP
MAE	Review of progress in the modernization of operational functions	Mission	October 1992	NBP
MAE	Resident expert-Advisor to President of NBP		November 1991–92	NBP
MAE	Additional steps in the modernization process of the NBP	Mission	April 1993	NBP
MAE	Monetary programming and operations, and payments system	Mission	November 1993	NBP
MAE	Central bank modernization	Mission	August 1994	NBP
MAE/LEG	Review of the exchange and payments system	Mission	February 1995	NBP/MoF
MAE	Exchange rate system	Mission	March 1995	NBP
MAE	Review of government securities market, payments system and public debt management	Mission	August 1995	NBP/MoF
MAE	Asset consolidation exercise	Expert visits	Late 1995	NBP
FAD	Tax administration (VAT)	Nine short-term assignments of field experts	August 1992–October 1994	MoF
FAD	Tax administration	Mission	November 1992	MoF
STA	Framework for monetary statistics	Mission	February 1993	NBP
STA	Framework for monetary statistics (follow-up)	Mission	November 1993	NBP
STA	Government finance statistics	Mission	August 1995	NBP/MoF
STA	Money and banking statistics	Mission	January 1996	NBP
STA	Government finance statistics	Mission	July 1996	NBP/MoF
STA	Balance of payments statistics	Mission	November 1996	NBP/MoF
STA	Balance of payments statistics	Follow-up mission	April 1997	NBP/MoF
STA	Review of progress in implementing the SDDS	Visit	February 1998
FAD	Public expenditure management	Mission	April 1998	MoF
MAE	Operational aspects of monetary and exchange rate policy	Mission	September 1998	NBP
FAD	Tax administration	Mission	October 1998	MoF
FAD	Examination of impact on revenues of proposed tax reform	Mission	November 1998	MoF
FAD	Discussion of tax administration	Mission	March 1999	MoF
FAD	Tax administration seminar	Mission	April 1999	MoF
STA	Government Finance Statistics	Mission	October 1999	MoF/Local
FAD	Tax administration—Introduction of expert	Mission	November 1999	MoF
FAD	Administering Social Security	Mission	March 2000	MoF
IMF/IBRD	FSAP	Mission	May/Sept 2000	MoF/NBP
MAE	Monetary Operations	Mission	July 2001	NBP
FAD	Expenditure restructuring	Mission	December 2001	MoF
MAE	Stress testing	Mission	January 2002	NBP
STA	Data ROSC	Mission	January 2003	CSO/MoF/NBP
STA	Government finance statistics (GFSM 2001)	Mission	October 2003	MoF
STA	Government finance statistics (GFSM 2001)	Mission	January 2005	MoF
IMF/IBRD	FSAP Update	Mission	April/May 2006	MoF/NBP
FAD	Developing a multi-annual fiscal framework	Mission	June 2008	MoF
STA	Errors and omissions in balance of payments accounts	Mission	July 2009	NBP
FAD	Medium-term fiscal framework	Mission	April 2010	MoF
MCM	Detailed assessment of observance of BCP for effective banking supervision	Mission	Feb/March 2011	KNF
STA	Errors and omissions in balance of payments accounts	Mission	June 2011	NBP
FAD	Developing the fiscal regime for oil and gas	Mission	April 2012	MoF
MCM	Macroprudential framework	Mission	May 2012	NBP
IMF/WB	FSAP update	Mission	Feb/March 2013	MoF/ KNF/NBP
FAD	Tax administration—Modernization challenges and strategic priorities	Mission	November 2014	MoF
MCM	Bank Resolution	Mission	March 2016	BFG
FAD	Medium-term budget framework	Mission	January 2017	MoF
FAD	Tax administration	Mission	April 2017	MoF

View Table

Republic of Poland: Technical Assistance from the Fund, 1992–2017

Department	Subject/Identified Need	Action	Date	Counterpart
MAE-Coordinated	Periodic visits by experts from central banks cooperating in providing technical assistance to the NBP under the coordination of MAE	Experts’ visits	1992–94	NBP
MAE	Payments system, banking supervision, monetary research and analysis	Mission	May 1992	NBP
MAE	Review of progress in the modernization of operational functions	Mission	October 1992	NBP
MAE	Resident expert-Advisor to President of NBP		November 1991–92	NBP
MAE	Additional steps in the modernization process of the NBP	Mission	April 1993	NBP
MAE	Monetary programming and operations, and payments system	Mission	November 1993	NBP
MAE	Central bank modernization	Mission	August 1994	NBP
MAE/LEG	Review of the exchange and payments system	Mission	February 1995	NBP/MoF
MAE	Exchange rate system	Mission	March 1995	NBP
MAE	Review of government securities market, payments system and public debt management	Mission	August 1995	NBP/MoF
MAE	Asset consolidation exercise	Expert visits	Late 1995	NBP
FAD	Tax administration (VAT)	Nine short-term assignments of field experts	August 1992–October 1994	MoF
FAD	Tax administration	Mission	November 1992	MoF
STA	Framework for monetary statistics	Mission	February 1993	NBP
STA	Framework for monetary statistics (follow-up)	Mission	November 1993	NBP
STA	Government finance statistics	Mission	August 1995	NBP/MoF
STA	Money and banking statistics	Mission	January 1996	NBP
STA	Government finance statistics	Mission	July 1996	NBP/MoF
STA	Balance of payments statistics	Mission	November 1996	NBP/MoF
STA	Balance of payments statistics	Follow-up mission	April 1997	NBP/MoF
STA	Review of progress in implementing the SDDS	Visit	February 1998
FAD	Public expenditure management	Mission	April 1998	MoF
MAE	Operational aspects of monetary and exchange rate policy	Mission	September 1998	NBP
FAD	Tax administration	Mission	October 1998	MoF
FAD	Examination of impact on revenues of proposed tax reform	Mission	November 1998	MoF
FAD	Discussion of tax administration	Mission	March 1999	MoF
FAD	Tax administration seminar	Mission	April 1999	MoF
STA	Government Finance Statistics	Mission	October 1999	MoF/Local
FAD	Tax administration—Introduction of expert	Mission	November 1999	MoF
FAD	Administering Social Security	Mission	March 2000	MoF
IMF/IBRD	FSAP	Mission	May/Sept 2000	MoF/NBP
MAE	Monetary Operations	Mission	July 2001	NBP
FAD	Expenditure restructuring	Mission	December 2001	MoF
MAE	Stress testing	Mission	January 2002	NBP
STA	Data ROSC	Mission	January 2003	CSO/MoF/NBP
STA	Government finance statistics (GFSM 2001)	Mission	October 2003	MoF
STA	Government finance statistics (GFSM 2001)	Mission	January 2005	MoF
IMF/IBRD	FSAP Update	Mission	April/May 2006	MoF/NBP
FAD	Developing a multi-annual fiscal framework	Mission	June 2008	MoF
STA	Errors and omissions in balance of payments accounts	Mission	July 2009	NBP
FAD	Medium-term fiscal framework	Mission	April 2010	MoF
MCM	Detailed assessment of observance of BCP for effective banking supervision	Mission	Feb/March 2011	KNF
STA	Errors and omissions in balance of payments accounts	Mission	June 2011	NBP
FAD	Developing the fiscal regime for oil and gas	Mission	April 2012	MoF
MCM	Macroprudential framework	Mission	May 2012	NBP
IMF/WB	FSAP update	Mission	Feb/March 2013	MoF/ KNF/NBP
FAD	Tax administration—Modernization challenges and strategic priorities	Mission	November 2014	MoF
MCM	Bank Resolution	Mission	March 2016	BFG
FAD	Medium-term budget framework	Mission	January 2017	MoF
FAD	Tax administration	Mission	April 2017	MoF

Assessment of Data Adequacy for Surveillance

General: Data provision is adequate for surveillance.

National Accounts: The Central Statistical Office (GUS) compiles and disseminates annual and quarterly GDP by production and expenditure approaches, both at current and previous year’s prices following the 2008 SNA and ESA 2010. A supply and use table is only available for the year 2010. Quarterly financial accounts of general government sector are compiled by the Central Statistical Office (GUS). Annual and quarterly financial accounts by institutional sectors are compiled by Narodowy Bank Polski (NBP) following the ESA 2010 standards and disseminated regularly on its website according to an advance release calendar: the annual financial accounts on the 20th of October the following year and quarterly financial accounts on the 20th calendar day of the 4th month following the end of the reference quarter (i.e., on the 20th of January, April, July, and October).

Price Statistics: The consumer price index does not cover imputed rents of owner-occupied dwellings. The scope of the index covers all resident households, except those in some rural areas. The producer price index does not include any estimation for missing prices; quality and seasonal adjustment techniques are also not implemented.

Government Finance Statistics: The Ministry of Finance (MoF) is responsible for compiling monthly data. The data are compiled in accordance with the IMF’s Government Finance Statistics Manual 2001 (GFSM 2001). Monthly cash data cover “core” central government. Revenue and expense are divided by economic type. Financing is classified by sector and by type of debt instrument.

Starting in 2015 (annual data for 2014), GUS is responsible for collecting, processing, and disseminating annual government finance statistics. The data are compiled according to European System of Accounts (ESA2010) and adjusted to GFS Manual 2014. The annual reports cover presentation of fiscal data on operations of the general government sector divided by central government, local government, and social security funds. Revenue and expense are divided by transactions. Financing is classified by sector and by type of debt instrument. General government data are released on a quarterly basis, derived from detailed ESA data. Monthly and annual data are regularly disseminated on the SDDS website. Data for 2013 were prepared by the Ministry of Finance according to GFS2001, while data for 2014 were prepared by the Central Statistical Office according to GFSM2014.

Monetary and Financial Statistics: Beginning with data for January 2004, the NBP provides the European Central Bank (ECB) with monetary accounts in accordance with the ECB’s framework for monetary statistics using the national residency approach. Data on other financial corporations (OFC) are currently not available. An earlier Report on the Observance of Standards and Codes (ROSC) mission recommended that the NBP, in cooperation with the MoF, reconcile monetary and government finance statistics and carry out a reconciliation exercise on a regular basis.

Financial Sector Surveillance: In November 2009, NBP in cooperation with GUS, the Polish Financial Supervision Authority (KNF) and MoF began reporting financial soundness indicators (FSI) based on the IMF’s Financial Soundness Indicators Compilation Guide. Poland is currently reporting all core FSIs and 21 of the 28 encouraged FSIs on a quarterly basis with a lag of approximately one quarter. NBP also implemented EU regulation 680/2014, which covers supervisory reporting defined by the Implementing Technical Standards (ITS) prepared by the European Banking Authority. The first data was collected for March 2014 for own funds and liquidity related reporting. Financial reporting on a consolidated basis according to the ITS scheme was reported for the first time for September 2014.

External Sector Statistics: Largely to improve data accuracy, the NBP fully depends on survey-based source data, starting in the first quarter of 2010. STA undertook an evaluation mission to Poland in July 2009, and followed up in June 2011 to assess further data improvements and anticipated revisions in the external sector accounts. Due to the comprehensive work on improving the data sources, the errors and omissions reduced from 4 percent of GDP in 2004 to around 1 percent of GDP in recent years, which is comparable to the level in other European countries. Authorities are committed to further improving the compilation system for the external sector statistics.

Poland, as all other EU countries, started disseminating balance of payments data in accordance with the sixth edition of the IMF’s Balance of Payments and International Investment Position Manual (BPM6) and external debt statistics in line with the 2013 External Debt Statistics: Guide for Compilers and Users (2013 EDS Guide).

Poland reports Coordinated Direct Investment Survey and Coordinated Portfolio Investment Survey data to the IMF.

Data Standards and Quality

Data Standards and Quality

Subscriber to the Fund’s Special Data Dissemination Standard (SDDS) since April 17, 1996. Uses SDDS flexibility option on the timeliness of the data on general government and central government operations.

Data ROSC was published in 2003.

View Table

Data Standards and Quality

Subscriber to the Fund’s Special Data Dissemination Standard (SDDS) since April 17, 1996. Uses SDDS flexibility option on the timeliness of the data on general government and central government operations.

Data ROSC was published in 2003.

Republic of Poland: Table of Common Indicators Required for Surveillance–as of May 31, 2016

¹Any reserve assets that are pledged of otherwise encumbered should be specified separately. Also, data should comprise short-term liabilities linked to a foreign currency but settled by other means as well as the notional values of financial derivatives to pay and to receive foreign currency, including those linked to a foreign currency but settled by other means.

²Both market-based and officially-determined, including discount rates, money market rates, rates on treasury bills, notes and bonds.

³Foreign, domestic bank, and domestic nonbank financing.

⁴The general government consists of the central government (budgetary funds, extra budgetary funds, and social security funds) and state and local governments.

⁵Including currency and maturity composition.

⁶Daily (D), Weekly (W), Monthly (M), Quarterly (Q), Annually (A); Not Available (NA).

⁷Reflects the assessment provided in the data ROSC published on November 6, 2001, and based on the findings of the respective missions that took place during May 10–18, 2001 for the dataset corresponding to the variable in each row. For fiscal data, also takes account of the 2009 Fiscal Transparency ROSC. The assessment indicates whether international standards concerning concepts and definitions, scope, classification/sectorization, and basis for recording are fully observed (O), largely observed (LO), largely not observed (LNO), or not observed (NO).

⁸Same as footnote 7, except referring to international standards concerning (respectively) source data, statistical techniques, assessment and validation, and revision studies.

⁹Includes external gross financial asset and liability positions vis-à-vis nonresidents.

Republic of Poland: Table of Common Indicators Required for Surveillance–as of May 31, 2016

	Date of latest observation	Date received	Frequency of data7	Frequency of reporting7	Frequency of publication7	Memo Items:
						Data Quality – Methodological soundness8	Data Quality Accuracy and reliability9
Exchange Rates	5/31/2017	5/31/2017	D	D	D
International Reserve Assets and Reserve Liabilities of the Monetary Authorities1	4/2017	5/19/2017	M	M	M
Reserve/Base Money	4/2017	5/5/2017	M	M	M	O, LO, O, LO	O, O, O, O, O
Broad Money	4/2017	5/12/2017	M	M	M
Central Bank Balance Sheet	4/2017	5/5/2017	M	M	M
Consolidated Balance Sheet of the Banking System	4/2017	5/12/2017	M	M	M
Interest Rates2	5/31/2017	5/31/2017	D	D	D
Consumer Price Index	4/2017	5/12/2017	M	M	M	O, O, O, O	O, O, O, O, O
Revenue, Expenditure, Balance, and Composition of Financing3 – General Government4	Q4/2016	5/20/2017	A	A	A	LO, O, O, O	O, O, O, O, NA
Revenue, Expenditure, Balance and Composition of Financing3 – Central Government	3/2017	5/20/2017	M	M	M
Stocks of Central Government and Central Government-Guaranteed Debt5	3/2017	5/20/2017	M	M	M
External Current Account Balance	3/2017	5/15/2017	M	M	M	O, O, O, LO	O, O, O, O, LO
Exports and Imports of Goods and Services	3/2017	5/16/2017	M	M	M
GDP/GNP	Q1/2017	5/31/2017	Q	Q	Q	O, LO, O, O	LO, LO, O, O, LO
Gross External Debt	Q4/2016	3/31/2017	Q	Q	Q
International Investment Position6	Q4/2016	3/31/2017	Q	Q	Q

¹Any reserve assets that are pledged of otherwise encumbered should be specified separately. Also, data should comprise short-term liabilities linked to a foreign currency but settled by other means as well as the notional values of financial derivatives to pay and to receive foreign currency, including those linked to a foreign currency but settled by other means.

²Both market-based and officially-determined, including discount rates, money market rates, rates on treasury bills, notes and bonds.

³Foreign, domestic bank, and domestic nonbank financing.

⁴The general government consists of the central government (budgetary funds, extra budgetary funds, and social security funds) and state and local governments.

⁵Including currency and maturity composition.

⁶Daily (D), Weekly (W), Monthly (M), Quarterly (Q), Annually (A); Not Available (NA).

⁷Reflects the assessment provided in the data ROSC published on November 6, 2001, and based on the findings of the respective missions that took place during May 10–18, 2001 for the dataset corresponding to the variable in each row. For fiscal data, also takes account of the 2009 Fiscal Transparency ROSC. The assessment indicates whether international standards concerning concepts and definitions, scope, classification/sectorization, and basis for recording are fully observed (O), largely observed (LO), largely not observed (LNO), or not observed (NO).

⁸Same as footnote 7, except referring to international standards concerning (respectively) source data, statistical techniques, assessment and validation, and revision studies.

⁹Includes external gross financial asset and liability positions vis-à-vis nonresidents.

View Table

Republic of Poland: Table of Common Indicators Required for Surveillance–as of May 31, 2016

	Date of latest observation	Date received	Frequency of data7	Frequency of reporting7	Frequency of publication7	Memo Items:
						Data Quality – Methodological soundness8	Data Quality Accuracy and reliability9
Exchange Rates	5/31/2017	5/31/2017	D	D	D
International Reserve Assets and Reserve Liabilities of the Monetary Authorities1	4/2017	5/19/2017	M	M	M
Reserve/Base Money	4/2017	5/5/2017	M	M	M	O, LO, O, LO	O, O, O, O, O
Broad Money	4/2017	5/12/2017	M	M	M
Central Bank Balance Sheet	4/2017	5/5/2017	M	M	M
Consolidated Balance Sheet of the Banking System	4/2017	5/12/2017	M	M	M
Interest Rates2	5/31/2017	5/31/2017	D	D	D
Consumer Price Index	4/2017	5/12/2017	M	M	M	O, O, O, O	O, O, O, O, O
Revenue, Expenditure, Balance, and Composition of Financing3 – General Government4	Q4/2016	5/20/2017	A	A	A	LO, O, O, O	O, O, O, O, NA
Revenue, Expenditure, Balance and Composition of Financing3 – Central Government	3/2017	5/20/2017	M	M	M
Stocks of Central Government and Central Government-Guaranteed Debt5	3/2017	5/20/2017	M	M	M
External Current Account Balance	3/2017	5/15/2017	M	M	M	O, O, O, LO	O, O, O, O, LO
Exports and Imports of Goods and Services	3/2017	5/16/2017	M	M	M
GDP/GNP	Q1/2017	5/31/2017	Q	Q	Q	O, LO, O, O	LO, LO, O, O, LO
Gross External Debt	Q4/2016	3/31/2017	Q	Q	Q
International Investment Position6	Q4/2016	3/31/2017	Q	Q	Q

¹Any reserve assets that are pledged of otherwise encumbered should be specified separately. Also, data should comprise short-term liabilities linked to a foreign currency but settled by other means as well as the notional values of financial derivatives to pay and to receive foreign currency, including those linked to a foreign currency but settled by other means.

²Both market-based and officially-determined, including discount rates, money market rates, rates on treasury bills, notes and bonds.

³Foreign, domestic bank, and domestic nonbank financing.

⁴The general government consists of the central government (budgetary funds, extra budgetary funds, and social security funds) and state and local governments.

⁵Including currency and maturity composition.

⁶Daily (D), Weekly (W), Monthly (M), Quarterly (Q), Annually (A); Not Available (NA).

⁷Reflects the assessment provided in the data ROSC published on November 6, 2001, and based on the findings of the respective missions that took place during May 10–18, 2001 for the dataset corresponding to the variable in each row. For fiscal data, also takes account of the 2009 Fiscal Transparency ROSC. The assessment indicates whether international standards concerning concepts and definitions, scope, classification/sectorization, and basis for recording are fully observed (O), largely observed (LO), largely not observed (LNO), or not observed (NO).

⁸Same as footnote 7, except referring to international standards concerning (respectively) source data, statistical techniques, assessment and validation, and revision studies.

⁹Includes external gross financial asset and liability positions vis-à-vis nonresidents.