Economic Policy Response to the COVID-19 Crisis: The case of Poland

摘要: The aim of this paper is to examine economic policy response the COVID-19 crisis in Poland. investigates rationale for tools implemented, their costs, and potential consequences Polish economy. analysis concentrates on initial phase (March-April 2020). study proves that scope adjustments Poland might be viewed as relatively wide. Monetary fiscal packages implemented induce profound total new financing needed by government anti-crisis measures results a significant increase public debt ratio, from 44% 2019 51.5% 2020, state budget deficit 7.6% GDP 2020. Although projected ratio still below 55% alert threshold prescribed Constitution, makers should consider risk factors. First, under an extended lockdown scenario needs larger than initially estimated. Second, if zloty depreciates due external pressures, increases even more 30% denominated foreign currencies. Financing not possible without support central bank (NBP). quantitative easing required relative basis comparable programmes United States after 2009. Therefore, agents expect unprecedented NBP balance sheet money circulation. This have impact price levels Poland, at least long term. worst-case stagflation, characterised sluggish growth rising inflation.