At its Tuesday meeting, the cabinet endorsed the execution of the budget law for 2022 and in a Prime Minister's Office news release, the government said that the deficit was only at 42.1 percent of the planned shortfall of PLN 29.9 billion (EUR 6.7 billion).
Rafał Guz/PAP

The Polish government has approved the execution of the 2022 budget with a deficit of PLN 12.6 billion (EUR 2.8 billion).

At its Tuesday meeting, the cabinet endorsed the execution of the budget law for 2022 and in a Prime Minister’s Office news release, the government said that the deficit was only at 42.1 percent of the planned shortfall of PLN 29.9 billion (EUR 6.7 billion).

“The state budget’s revenue reached PLN 504.8 billion (EUR 112.6 billion) in 2022,” the release read. “The budget expenditure was at PLN 517.4 billion (EUR 115.4 billion).”

Poland’s real GDP growth reached 5.1 percent despite the shock caused by the outbreak of the war in Ukraine, which along with supply chain bottlenecks and Russia’s aggressive use of energy policy as a blackmail tool spurred record-high inflation, which reached 14.4 percent on average in 2022.

Average employment went up by 2.2 percent compared to the previous year, while registered unemployment amounted to 5.2 percent at the end of 2022, 0.6 percentage points less than a year before. Wages went up by 14 percent in nominal terms.

The government recalled its consistent rolling out of anti-inflation packages throughout the year, including lower taxes on electricity, heating, gas, fuels and basic foodstuffs.

Public investment accelerated by 14.3 percent in nominal terms in 2022, reaching 4 percent of Poland’s GDP.