Poland’s governing coalition under Donald Tusk plans to bring central bank governor Adam Glapinski before a court over allegations that he politicised the National Bank of Poland under the previous government.
The move comes as the central bank’s board has been short of members for months. Tusk countersigned the board appointments on 3 November, but the standoff with President Karol Nawrocki had left several candidates waiting.
Board shortfall and appointment rules
Board members serve six-year terms and are appointed by the president on the governor’s proposal, with prime minister approval.
Four candidates waited months for Tusk to sign their appointments. Glapinski’s mandate runs until 2028.
Markets and the rating outlook
Bloomberg reports that markets are concerned about Poland’s budget deficit, one of the highest in the EU. Moody’s has downgraded Poland to A3.
Also Read
Tatha Ghose, an analyst at Commerzbank, said: “The political crisis is slowly spreading to all Polish public institutions, which carries the risk of a more serious fall of the zloty.” Bloomberg reports no market panic so far.
Elections could reshape the bank
In 2023, the National Bank of Poland cut rates by 75 basis points a few weeks before that year’s parliamentary election, while inflation was double-digit.
Related: Czech central bank hikes rates; Babis calls it a scandal · Czech central bank raises base rate to 4 percent
Source: National Bank of Poland
