Economic trends
Poland's economy developed rapidly in the mid 1990s, but slowed down considerably between 2001 and 2002. In May 2004, when the country joined the European Union, the economic situation recovered and was strengthened by its integration into the community. GDP growth was healthy between 2006 and 2008. The financial crisis affected the country, beside a wholesome economic policy based on a low public deficit and a controlled debt level. A negative GDP growth was recorded on the first quarter of 2009 after 14 years of continuous positive growth. Inflation is under control and this should be maintained in the coming years. Foreign investment contributions are substantial, especially in the subcontracting sector.
Main branches of industry
In Poland, agriculture employs less than 20% of the active population and contributes about 4% to the GDP. The country is generally self sufficient as far as food is concerned. The main crops are rye, potatoes, beetroot, wheat and dairy products. Pigs and sheep are the main livestock. Poland is relatively rich in natural resources and the main minerals produced are coal, sulphur, copper, lead and zinc.
The manufacturing industry is the economy driver, contributing about 30% to the GDP, whereas the tertiary sector represents about 65% of the GDP. The country's main industrial sectors are machine manufacturing, telecommunications, environment, transport, construction, industrial food processing and information technologies. The automobile industry has resisted the effects of the economic crisis well as this sector was place at the niche at the right time - namely small economic vehicles, exactly what Poland was producing.
International trade
Poland is the biggest central European country, both in terms of its surface area and its population. Poland's geographical location makes it strategically important, as it is situated half-way between Paris and Moscow and between Stockholm and Budapest. It shares borders with Germany, the Czech Republic, Slovakia, Ukraine, Belarus, Lithuania and Russia, and has large ports which are linked to the North Sea via the Baltic Sea. In addition, the country is a good place from which to export goods to the former Soviet Republic, with which it continues to maintain close commercial relationships. Polish exports have increased by more than 30%, since it joined the EU, especially to Russia (more than 75%). Poland's balance of trade has continued to improve with the increase in exports being greater than those of imports. Foreign trade represent about 80% of the national GDP. The three main trade partners are the European Union, Russia and China.
The country shows a slight trade deficit in 2009, a trend that should continue during the coming years.
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Last updates: September 2010
