Business Environment POLAND

Kartikey Bhardwaj MBA(WE) ,General 0641668508

Politics of Poland


Poland is a democracy, with a president as a head of state, whose current constitution dates from 1997. The government structure centers on the Council of Ministers, led by a prime minister. The president appoints the cabinet according to the proposals of the prime minister

Economy of Poland 1. In 2009 Poland had the highest GDP growth in the EU. As of November 2009, the Polish economy has not entered the global recession of the late 2000s nor has it even contracted 2. The privatization of small and medium state-owned companies and a liberal law on establishing new firms have allowed the development of an aggressive private sector. As a consequence, consumer rights organizations have also appeared 3. Poland has a large number of private farms in its agricultural sector, with the potential to become a leading producer of food in the European Union 4. The economy had growth of 3.7% annually in 2003, a rise from 1.4% annually in 2002. In 2004, GDP growth equaled 5.4%, in 2005 3.3% and in 2006 6.2%

Cont..
5. According to a Credit Suisse report, Poles are the second wealthiest (after Czechs) of the Central European peoples, this in turn makes Poland an attractive destination for many guest workers from Asia and Eastern Europe (an average Polish citizen is three times richer than an average Russian) 6. Commodities produced in Poland include: electronics, cars , buses , helicopters , transport equipment, locomotives, planes , ships, military engineering (including , medicines , food, clothes, glass, pottery , chemical products and others. 7. Poland is recognised as a regional economic power within Central Europe, possessing nearly 40 percent of the 500 biggest companies in the region (by revenues).Poland was the only member of the EU to avoid the recession of the late 2000s, a testament to the Polish economy's stability

Doing Business: Country Rankings

           

Ease of... Doing Business Starting a Business Dealing with Construction Permits Registering Property Getting Credit Protecting Investors Paying Taxes Trading Across Borders Enforcing Contracts Closing a Business Getting Electricity .. ..

2010 rank 70 113 164 86 15 44 121 49 77 81

2009 rank 73 115 166 86 14 41 148 46 76 86

Change 3 2 2 0 -1 -3 27 -3 -1 5

Macro Indicators
2002 2003 2004 2005 2006 2007 2008 1.4 3.9 5.3 3.6 6.2 6.7 1.9 0.8 3.6 2.1 1.1 2.4 605.3 530.1 740.0 1109.9 1596.2




GDP growth (annual %)

Inflation, consumer prices (annual %)

Total Returns Index (IFCGTRUS)

Infrastructure Indicators

Paved roads (% of total) Mobile cellular subscriptions (per 100 people) Internet users (per 100 people) Electric power consumption (kWh per capita)

76.4 35.3 3437.3

96.3 40.4 3585.0

108.6 44.0

Financial & Private Sector Development Indicators

2002 2003 20004 2005 2006 2007 FDI Net Inflows (% of GDP) 2.1 2.1 5.2 3.4 5.8 5.4 Gross Fixed Capital Formation, private sector (% of GDP) 15.9 15.5 14.7 14.7 16.2 17.5 Tax revenue (% of GDP) 17.0 17.0 15.7 16.7 17.3 18.4 Exports of goods and services (% of GDP) 28.6 33.3 37.5 37.1 40.3 40.9 Imports of goods and services (% of GDP) 32.1 35.9 39.5 37.4 41.0 43.6 Domestic credit to private sector (% of GDP) 28.1 28.1 28.9 33.3 39.5 49.9 Domestic credit to private sector 73.1 74.9 77.3 79.2 85.2 82.8 Total Financial System Deposits to GDP 37.5 35.9 34.9 36.2 38.1 39.1 Bank nonperfoming loans to total (%) 10.4 9.2 7.7 3.6 3.1 Lending Spread 5.5 3.5 3.7 4.0 3.3 Private Sector Employment as a % of Total Employment 72.3 72.5 Business Entry Rate (new registrations as % of total) 4.9 4.9 4.7 4.7 5.0

Thank you