By: The Quinnipiac University Economics Research Team, Michael Szwaja
Poland’s Central Statistical Office (GUS) reported a trade surplus of 6.3 billion Euros so far this year. Considering Poland had temporarily closed its borders five times to non-residents in order to combat the spread of the coronavirus, this surplus indicates that exports for the country are currently robust. Poland’s urgent push for reopening its borders to fellow EU (European Union) constituents successfully encouraged trade and influenced economic growth.
From the span of January to August of this year, Poland has totaled 147.7 billion Euros of exports and €141.4 billion Euros of imports for a surplus of 6.3 billion Euros. This upward trajectory indicates this year will likely best the prior year end total of a 1.2 billion Euro surplus. This significant success is due in part to exports to Germany and the Czech Republic, the country’s two leading importers. Poland’s foreign trade turnover is down compared to the same period last year. However, it has seen a steeper decline of imports of (7.4% YoY) against its exports (3.2% YoY). This has allowed for the growth in net exports.
Even with the economic disruptions from the current pandemic, Poland’s Prime Minister Mateusz Morawiecki has expressed that “Poland needed to restore trade relations with the European Union as quickly as possible” and “that we’re [Poland] managing risk in the right way.” It seems evident that Poland will continue to push for foreign trade which should benefit the country’s macroeconomic conditions.