What are economic and political issues facing Poland
Introduction
Poland indeed faces several significant challenges in 2024
Political Tensions
The new government, led by Donald Tusk’s Civic Coalition, is encountering strong opposition from the previous ruling party, Law and Justice (PiS). This has resulted in:
Large protests by PiS supporters against changes in public media and the detention of former PiS politicians
Potential obstruction of the government’s agenda by President Andrzej Duda, who is aligned with PiS
Challenges in implementing reforms due to PiS-appointed judges in the Constitutional Tribunal
Economic Challenges
Poland’s economy is facing several pressures:
High inflation, recorded at 6.1% by the end of 2023
Weak economic growth, with only 0.4% annual growth in 2023
An expected rise in the budget deficit from 2.5% to 4.5% of GDP
Diminishing cost-competitiveness affecting the export-driven growth model
Social and Human Rights Issues
Several social and human rights concerns persist:
Ongoing discrimination against LGBT people and attacks on women’s rights, particularly reproductive rights
Limited access to abortion, even in life-threatening situations
Arbitrary detention of refugees and migrants in closed centers
Concerns over judicial independence and the rule of law
Environmental and Energy Transition
Poland faces challenges in transitioning away from fossil fuels:
Costly dependence on coal affecting competitiveness
Need for significant progress on climate mitigation to align with EU climate goals
Requirement for strong measures to meet new decarbonization targets while safeguarding competitiveness and social cohesion
Demographic Challenges
Poland is grappling with demographic issues that could impact its future growth:
Population aging, which poses a substantial drag on the future size of the workforce
Need for policies to support higher labor participation, especially for women
Conclusion
These multifaceted challenges indicate that Poland is indeed facing significant problems across political, economic, social, and environmental domains as it moves through 2024.
