The Polish government is not the most lavish one as far as attracting FDI is concerned. According to the latest report by the Polish Foreign Investment Agency, Poland has less incentives than Bulgaria and the Czech Republic but more than Slovakia or Romania.
In 2013, 50 foreign investors announced that they would be investing approximately 825 million euro in the Polish market. This is less than in 2012. Professor Saul Estrin from the London School of Economics maintains that larger investment incentives are unnecessary, and that foreign direct investment can also have negative consequences.
It will be 25 years on 23 December since the Act on Economic Activity, popularly called Wilczek’s bill, was passed. It introduced into the stubborn reality the rule that what is not prohibited is permitted. State regulation was reduced. This act is commonly considered to be the “Sevres standard” for free-market economic reforms. Is this a deserved opinion?
Poland is once again changing the rules of operation of Special Economic Zones. After the recent proposals of the Ministry of Economy, some experts predict their revival. Especially after Prime Minister Donald Tusk recently declared support for investors. Permanent state aid may be criticised, but it is a path followed by almost all countries.
Government advertising campaigns tend to put people to sleep, but a startling exception is the ongoing campaign to boost investment in eastern Poland, with US economics commentator Matt Yglesias calling it the “The Greatest Economic Development Poster of All Time.”