Poland will receive another billion Euro from the World Bank for economic reforms. It is a signal for investors that according to the Bank Poland’s economy is in a good position.

In an interview for the daily Gazeta Wyborcza, Kaspar Richer, Senior Economist of the World Bank, explains that the purpose of the loans granted by the World Bank is to support reforms that will allow Poland to reach the level of development similar to the EU average. Altogether, by November 2008 Poland received 3 billion Euro from the World Bank. The first loan supported the private sector, the reform of the labour market and the management of public finance. The second loan, due to the global crisis, supported mainly social issues.

The present loan will be used to support the above areas, however, additionally it will support activities leading to consolidation of public finance. “In Poland, the program of consolidation of public finance, aiming at decreasing the deficit to 3 percent of GDP by 2012, is quite ambitious,” says Kaspar Richer.

The loans granted by the World Bank are good for the economy, as, due to a lower interest rate compared with credits taken on the financial market, they are a form of inexpensive financing of reforms.