2025.09.0800:36:51UTC+00Fitch Cuts Poland's Outlook to Negative

Fitch Ratings has adjusted Poland's credit outlook to negative from stable as of Friday, maintaining the nation's long-term foreign-currency issuer default rating at A-. This change reflects apprehensions about worsening public finances, an expanding fiscal deficit, and emerging political challenges. Fitch now anticipates that Poland's deficits will average 6.7% of GDP during 2024 and 2025, influenced by increased spending on public sector wages, pensions, defense, and servicing debt. Official figures reveal that the fiscal deficit for 2024 has widened to 6.6% of GDP, exceeding the government's target of 5.7% and surpassing Fitch's prior projection of 6.2%. Looking forward, the deficit is expected to remain high, projected at 6.9% in 2025 and 6.8% in 2026. Meanwhile, Standard & Poor's maintains Poland's credit rating at A- with a stable outlook. Moody's last assigned Poland an A2 rating with a stable outlook, while DBRS also rated Poland at A, sustaining a stable outlook.