February 2024: Business News from Poland with a Finnish Twist
Main topics in February newsletter:
ECONOMY IN POLAND
Inflation, interest?rate, and Polish zloty
1. Poland's CPI?inflation fell to 3.9% y/y in January 2024 from 6.2% y/y in December 2023. This is the lowest reading since February 2021, nearly three years.
What's next? The market consensus is that inflation will also decline in February and March, potentially falling temporarily below 3%. However, prices are expected to rise faster again in the following months due to significant increases in salaries (minimum wage and public sector raises). The freeze on energy prices is expected to continue until at least June, while the zero VAT on food is scheduled to remain in effect until March.
2. In accordance with market expectations, Poland's Monetary Policy Council (MPC) decided to keep the main interest rate in February unchanged at 5.75%.
Interest rate cuts are seen as more likely in the second half of the year, with a potential reduction ranging between 50 to 75 basis points. Bank Pekao assumes that the MPC will keep interest rates unchanged for at least the entire year 2024.
3. ING Bank anticipate that Polish zloty will continue its upward trend in 2024, targeting levels around EUR/PLN 4.20-25.
The market is currently factoring in aggressive rate cuts by the NBP, although the market consensus is that the likelihood of this scenario low. Additionally, gradual inflows of foreign capital are expected, both from private sources such as foreign share in Polish government bonds (POLGB) and from public funds (EU). Poland is also projected to maintain a current account surplus.
However, the war in Ukraine remains a significant risk factor for the zloty, while uncertainty regarding the MPC's reaction function is the primary concern for inflows into POLGBs.
As of 28 February 2024:
Polish GDP: Reading for 2023 and revised forecasts for 2024
1.?According to the preliminary estimate, the increase of Poland's GDP in 2023 was 0.2% compared with the previous year (5.3% in 2022). In Q4 of 2023, Poland's GDP increased by 1% y/y (2.5% in Q4 of 2022).
2. European Commission predicts that Poland's economic growth to accelerate to 2.7% in 2024. Private consumption is expected to be the main growth driver, supported by rising real wages, additional government social support, and receding inflationary pressures. Public consumption is also set to contribute robustly to growth on the back of new additional fiscal support measures.
3. According to the PKO bank, GDP growth will reach 3.5-4% y/y in 2024. The inflow of EU funds is expected to translate into a stronger external position for the Polish economy - a larger current and capital account surplus of the balance of payments - and support the zloty.
Changes in Polish salaries in January 2024
1. In January 2024, the average gross salary in Polish companies employing at least ten people stood at PLN 7,768 (EUR 1,798), marking a notable 12.8% increase compared to January 2023 and clearly surpassing economists' projections.
2. Wages in Poland are experiencing their most rapid growth in real terms since spring 2008, i.e. in almost 16 years. Due to decrease in inflation, the real average salary increase in January reached approximately 8.9% on a yearly basis.
3. The surge in average wages was heavily influenced by the raise in the gross minimum wage to PLN 4,242 (EUR 982) in January 2024 from PLN 3,600 (EUR 833) in June 2023, marking a significant 17.8% increase.
4. Analysts at Picodi compared the increase of Poland's net minimum wage (EUR 729) with that of other countries. It turns out that the annual increase of 18.9% ranks Poland 9th in the world in this regard.
5. In terms of Purchasing Power Standard (PPS), Eurostat metric reflecting price level variations between countries, Polish gross minimum wage (1491 PPS) is the 7th highest in the European Union. This places Poland ahead of Spain for the first time, ranking only behind Germany, Luxembourg, the Netherlands, Belgium, France and Ireland.
What's next?
/S&P, Puls Biznesu/
Polish?PMI down to 47.1 in January
The headline S&P Global Poland Manufacturing PMI fell from 47.4 in December 2023 to 47.1 in January 2024, indicating the sharpest downturn in the sector since October. This marks the twenty-first consecutive month with the PMI below 50.0, the second-longest negative sequence on record.
Weak demand from European markets, particularly Germany, contributed to this decline. Output, backlogs, and purchasing also decreased at accelerated rates, while the Red Sea shipping crisis led to the most significant delay in suppliers' delivery times since August 2022. In January 2024, new industrial orders fell by 15% y/y, and new industrial export orders decreased by 19.6% y/y.
Despite the challenging conditions, there were some optimistic signs. Although output and new orders fell sharply, expectations for future output were the highest since February 2022.
Value of housing loans applications up by 92% y/y in January 2024
A total of?22.58 thousand potential borrowers applied for a home loan in January 2024, compared to 13.25 thousand a year earlier, marking an increase of 70.3%. In monthly terms, the number of mortgage applicants decreased by 51.3%. The average value of a home loan applied for in January 2024 was EUR 99.08 thousand, reflecting 23.4% increase from January 2023. Compared to December 2023, it decreased by 1.9%.
The drop in the number of potential borrows in monthly terms is a direct consequence of the end of acceptance of loan applications under the 2% Safe Mortgage Program. This program accounted for about half of lending in the second half of 2023.
In Q4 of 2023, Polish apartments on the secondary market cost around 11.2% more than a year earlier. Over the last five years, apartment prices grew faster than wages (61% vs. 55%), but the recent trend shows wages catching up. However, the apartments remain expensive. In Warsaw, Kraków, Gdańsk, Gdynia or Wroc?aw, one square meter of an apartment from the secondary market costs more than EUR 2.300.
FINNISH BUSINESS & CULTURE IN POLAND
/FTG/
7 March: AGM of Finnish Trade Guild
Annual General Meeting of the SPCC Finnish Section will take place on 7 March 2024 in Warsaw.
The main items on the agenda include: the election of a new Chairman and Board members, activity report from 2023, and plans for 2024. Additionally, Leszek Tasiemski from WithSecure will give a presentation on cybersecurity trends important from the perspective of business leaders.
/Business Finland, Embassy of Finland in Prague/
14 March: Czech RRF Opportunities in the Railway Sector (online)
In the next decade, the Czech national railway carrier ?eské dráhy, a.s. will invest €6.5 billion in the rolling stock, marking a significant increase from the €2 billion invested in the previous decade. Additionally, public railway infrastructure & administration organization Správa ?eleznic, state organization has allocated an investment budget of €2.36 billion for 2024 alone.
There are numerous market opportunities for Finnish companies providing solutions in such areas as digitalization, data management, security, mobility, energy and green transition.
On 14th March, the Embassy of Finland in Prague will conduct an online event focusing on Czech RRF opportunities in the railway sector. During the webinar, participants will gain insights into the market potential for Finnish companies and receive practical recommendations for market entry.
We’re delighted to announce that Tuomas Asunmaa, Joonas M?kil? and Andrzej Wi?niewski from Spondeo will deliver one of the presentations, sharing the key findings of a recent comprehensive study on the Czech railway market.
19-20 March: Spondeo to lead a panel with Finnish companies at Polish Climate Congress
The Climate Congress of Poland and Central Eastern Europe is a meeting of experts and professionals related to climate and environmental protection.Its aim is to create a platform for establishing business and institutional cooperation and partnerships to accelerate the green transformation of Poland and the Central Northern Europe region.
Thematic sessions, meetings, panels, speeches and business match-making, as well as accompanying events will be held in Warsaw in three buildings at the same time, i.e. the Copernicus Science Center, the Copernican Revolution Workshop and the Barcelo hotel.
On 20 March 2024, Spondeo will lead a panel discussion with Baltic Sea Action Group (BSAG), Gasum, Gebwell, Infrakit, Meriaura Group, and W?rtsil? on the topic: Green solutions from the North. Showcasing selected forerunners from different energy sectors.
Interested? Whether you'd like to participate in the Congress or you're curious about green energy opportunities in Poland, we can assist you! Reach out to us at [email protected]
11-13 April: First edition of Finnish Education Days in Poland
Would you like your children to attend a school similar to those in Finland? Or perhaps you're thinking about establishing a Finnish school in Poland yourself?
We invite you to Finnish Education Days - three days to celebrate and learn about the Finnish education model. The organizers of this event draw on the Finnish experience and make effort to implement Finnish educational know-how in Poland.
Finnish Education Days is a new initiative, created mainly for teachers, students and parents. Its mission is to provide knowledge about education and learning, share the pedagogical experiences from Finland, and contribute to the fastest possible changes to the educational model in Poland.
The agenda includes:
The event will take place in two locations: Warsaw and Kalevala, a Finnish village in the Polish Karkonosze Mountains (Borowice near Karpacz).
The organizers of Finnish Education Days are La Scuolla and Kalevala.
The substantive program was developed in consultation with Finnish education experts from Helsinki, Tampere, and Turku.
Spondeo and Isku Poland are Partners of Finnish Education Days 2024.
/Embassy of Finland in Warsaw/
16-19 May: Finland as the Honorary Guest at the Book and Media Fair VIVELO 2024
Finland is the Guest of Honor at the Book and Media Fair VIVELO organized on PGE Narodowy in Warsaw on 16-19 May 2024.
During the 4-day event, you will have a chance to meet Finnish authors, participate in workshops and listen to presentations prepared by the Finnish experts, enjoy live cooking of Finnish recipes and visit Finland’s national stand.
Companies interested in cooperation are welcome to contact Embassy of Finland in Warsaw ([email protected]).
Polish Medicalgorithmics secured global software distribution contract with Finnish Bittium
Medicalgorithmics, a leading medtech company listed on the Warsaw stock exchange, has finalized a software distribution agreement with Bittium Biosignals, a subsidiary of Bittium Corporation, listed on the NASDAQ Helsinki. Bittium is a global provider of secure communication solutions, engineering services, and medical technologies, including devices for diagnosing arrhythmias.
This agreement focuses on integrating and evaluating Medicalgorithmics' software with Bittium's devices to enhance efficiency in ECG signal analysis. Bittium will distribute Medicalgorithmics software globally under a white-label arrangement, with revenue-sharing based on ECG measurements and analyses conducted using the AI-driven software.
This partnership will provide comprehensive technological platforms for arrhythmia diagnosis, utilizing Medicalgorithmics' proprietary AI algorithms, which have already been commercialized in 22 countries with regulatory approvals for over 50 markets.
/Fortum/
Fortum and TVO to provide expert services for Poland's nuclear power program
Fortum and TVO Nuclear Services have signed a two-year framework service agreement with Polskie Elektrownia J?drowa (PEJ), the state-owned company responsible for the project to build Poland's first nuclear power plant.
The subject of the agreement is to support PEJ in the development of operation and maintenance processes for the new nuclear power plant. Fortum and TVO will provide technical support to PEJ at the licensing and design stage of the plant, among other things, and will help PEJ develop its own capabilities for operating the nuclear power plant.
Fortum Nuclear Services has more than 40 years of experience in designing, licensing and operating nuclear facilities and providing related services and technologies. TVO Nuclear Services provides consulting and advisory services to the nuclear industry.
Wolt launches new service in Poland
Wolt is entering the employee benefits market in Poland with its new Wolt for Work service.
Wolt for Work is a two-part offer available on an app for business customers. In the form of a prepaid credit, they can offer access to restaurants and grocery stores as an employee benefit. In addition, they gain the ability to supply the office with items used on a daily basis. The service is already available in all 14 Polish cities served by Wolt, including Warsaw, Gdańsk and Kraków.
The market for non-wage benefits in Poland is EUR 3.7 billion (the value of meal subsidies is estimated at about EUR 348 million) and still has a lot of untapped potential. According to Puls Biznesu, in 2023 the share of professionals receiving non-wage benefits increased from 65% to 77%.
Finnlines: Plans for a new Polish route & major improvements in travel between Finland and Sweden
Did you know that Finnlines is preparing to open a new freight and passenger route between ?winouj?cie, Poland and Malm?, Sweden?
The new service will be introduced in response to the growing demand in the transport market. Additionally, it will enable passengers to travel to Malm?, the third largest city in Sweden, from where they can easily reach Copenhagen by public transport.
Finnlines has also recently made major investments in its services between Sweden and Finland. On 16 February, the new ro-pax mv Finncanopus was launched on its first commercial sail from Kapellsk?rto to Naantali and back.
Finncanopus and her sister vessel mv Finnsirius elevate travel comfort between Finland and Sweden to a new level. Finnlines offers much more than just convenient transport. Passengers have an opportunity to experience the beauty of Archipelago Sea on a luxurious wellness seacation. They can dine in various restaurants, indulge in duty-free shopping, relax in saunas and jacuzzis, or enjoy the gym and yoga facilities with a panoramic sea view.
Future Board at excursion in Poland
Future Board, Finnish group of young company board members, went on a trip to Warsaw to learn first-hand about board work and doing business in Poland.
The group spent two days in the capital of Poland, visiting local companies and networking with Polish and Finnish business representatives. Young professionals took part in a seminar about board work. One of the speeches was delivered by Tuomas Asunmaa, CEO of Spondeo and Chairman of Finnish Trade Guild. Other informative talks were given by Robert Jasiński, Eliza Kruczkowska, Kasia Kazior, Borys Musielak and Jenni Kynn?s.
It was delightful to meet you all! We hope to welcome you back in Poland soon.
/Spondeo, Zew Pó?nocy/
Article about Levi featured in Zew Pó?nocy - the only magazine dedicated to the Nordics in Poland
Here are three reasons why Levi Ski Resort stands out as a superior destination compared to regular ski resorts:
1. Lack of snow is never your concern - Levi welcomes skiing enthusiasts from October to mid-May.
2. Levi offers a unique skiing experience - only in Lapland you can glide down the slopes under the sky lighten up by a magical display of aurora borealis.
3. You have an opportunity to embark on a full Nordic adventure. In Levi, you can enjoy 230 km of cross-country skiing trails, try winter biking, go on an ice fishing expedition, drive through a snow-covered forest in a snowmobile, visit reindeer and husky farms, or plunge into the clear lake after a relaxing sauna session.
In the article prepared by Spondeo and published by Zew Pó?nocy, Levi is shown through various perspectives of both visitors and locals, including:
If you’re already thinking about going on your own Lapland adventure, we have good news! In April 2024, Finnair is launching a new route from Wroc?aw to Helsinki, reinstating the Gdańsk-Helsinki connection, and increasing flights for Kraków-Helsinki. Besides, there are also daily Finnair flights on the Warsaw-Helsinki route.
See you in Levi!
For more Nordic travel inspiration, check out other articles in Zew Pó?nocy magazine - available online and at Empik stores across Poland.
/Spondeo, YIT/
Quality urban developments with a Finnish Twist: Interview with Andrzej Gorgoń, marketing director at YIT
YIT broke ground for its first Polish project a little less than a decade ago. Since then, the largest Finnish developer has been investing in several projects in Warsaw and Gdańsk. In 2024, YIT further expanded to another Polish city. The company will start selling its first project in Kraków already at the beginning of March. This is a significant step in the development of YIT in Poland.
Speaking of groundbreaking news, YIT also stands as the first Polish (Finnish) housing developer to win five awards in the prestigious European Property Awards competition.
Spondeo invited Andrzej Gorgoń, Marketing Director at YIT Polska, to an interview featured in our latest publication.
These are the main highlights:
? Surprisingly vital role of Finnish connections in developing quality urban real estate in Poland.
? The impact of Covid-19 and the 2% Safe Mortgage program on the real estate market in Poland.
? YIT’s journey in Poland and its ambitious plans for the current year.
? A brief lesson in Finnish language, featuring the curious word kalsarik?nnit - drinking alone in your underwear with no intention of going out.
/Spondeo, Oddlygood/
Oddlygood recipe for Polish market entry: A conversation with Lev Rubinstein
Source: Oddlygood
"It may be surprising for newcomers to discover that starting a business in Poland is a very personal thing,” observed Lev Rubinstein, Head of European Sales responsible for successfully launching Oddlygood in Poland. “Everything depends on relationships, and it is crucial to establish them right from the start.”
Oddlygood, a Finnish company offering plant-based products, ventured into Poland in 2021 and has been expanding its presence in Polish retail, food service, cafes, and gas stations ever since.
During an interview with Spondeo conducted at the end of last year, Lev Rubinstein disclosed plans to further broaden the range of products on the market. Fast forward to February 2024, the company has just rolled out a new Hi, Protein! product line in Carrefour stores across Poland - and more is certainly yet to come!
? What are the secrets behind such an effective expansion of a young Finnish company?
? Why did it target Poland in the first place?
? What gave Oddlygood a competitive advantage on an attractive yet demanding Polish market?
/PolskieRadio, yle/
Meeting of Finnish and Polish Prime Ministers
Finnish Prime Minister Petteri Orpo met with his Polish counterpart, Donald Tusk, in Warsaw. Tusk expressed gratitude towards Finland for its willingness to assist Poland in rapidly catching up in civil defense preparedness. Orpo emphasized Europe's responsibility for its security, urging an increase in the continent's defense production capabilities.
Both leaders stressed the significance of joint defense efforts as well as the need for enhanced border security and cooperation in combating illegal immigration, with plans to fortify borders.
POLITICS
Brussels to unlock Poland’s EUR 137 billion of frozen EU funds
During her visit in Warsaw, Ursula von der Leyen announced that the European Commission plans to unblock around EUR 137 billion in EU funds that were put on hold due to concerns about the rule of law under the previous Polish government.
The funds consist of:
To date, Poland has received EUR 5 billion from the RePowerEu program, part of the RFF that was added last year and is separate from the previously frozen funds. The money was approved by the EU in early December. In line with EU targets, a significant proportion of the funds should be allocated to climate (42.7%) and digital transformation?(21.3%) policies.
/Ecovis/
Ecovis: Law, taxes & technologies in January 2024
Here are the main tax, law, and technologies topics tackled by Ecovis Legal Poland in the recently released newsletter:
/DW/
Polish farmers protest against Ukrainian imports and EU's Green Deal
Around 10,000 of farmers and supporters gathered in Warsaw on 27 February to express their opposition to EU agricultural policies and the influx of low-cost agricultural goods from Ukraine.
The protesters are advocating for Poland to withdraw from the EU's Green Deal, citing its high costs, and calling for a ban on imports of Ukrainian grain and other products. This demand follows the EU's decision in 2022 to exempt Ukrainian food imports from duties following Russia's invasion of Ukraine.
The ongoing protests, which included border blockades and disruptions at ports and roads, pose a significant challenge to Polish authorities.
领英推荐
Ministry of Foreign Affairs statement on President Vladimir Putin’s 10 lies on Poland and Ukraine which were not rectified by Tucker Carlson
1. Poland cooperated/collaborated with Hitler’s Germany.
Before World War II, Polish diplomacy tried to keep good neighbourly relations with Germany. Poland’s entering into any sort of military alliance with Hitler was out of question. In the period between the First and Second World Wars, Poland found itself between two aggressive neighbours: Germany and Russia, neither of which practically recognized Polish nation’s right to have an independent state. ?In 1934, in Berlin, the German–Polish declaration of non-aggression was signed, which was intended to guarantee the settling of disputes by peaceful means. Even before that, in 1932, a similar non-aggression pact was signed with the USSR.?
2. Poles forced Hitler to start World War II against them. Why did Poland start the war on 1 September 1939? It was unwilling to cooperate. Hitler had nothing to do but start implementing his plans with Poland.
The Second Polish Republic rejected Hitler’s claims as well as his proposal to enter into a Polish-German alliance against the USSR.?It was Hitler’s Germany and the Soviet authorities that signed an agreement against Poland on 23 August 1939 (so-called Molotov-Ribbentrop Pact), which allowed Germany to assault Poland on 1 September 1939. Soviet Russia and Hitler’s Germany cooperated in concert until June 1941.
INTERNATIONAL INVESTMENTS IN POLAND
South Korean POSCO to build motor core plant in Poland
POSCO International, the energy and trading unit of South Korea’s steel giant POSCO Holdings, announced that it will build new traction motor core plants in Poland and Mexico to expand its presence in the global eco-friendly vehicle market.
In Poland, a motor core manufacturing facility will be constructed on a 100,000 square-meter area in the southwestern city of Brzeg. This location is strategically chosen due to its proximity to key electric vehicle production hubs in Germany, the Czech Republic, Slovakia, and Hungary.
POSCO is set to commence construction of the plant in June, aiming for completion by May 2025. By 2030, the factory is projected to have an annual production capacity of 1.2 million units. Motor cores produced at the facility will also be supplied to Korea’s top two automakers, Hyundai Motor and Kia for their EVs to be sold in Europe.
/HFCL/
HFCL to set up optical fiber cable plant in Poland
India-based HFCL, a technology enterprise and integrated next-gen communications products and solutions provider, announced its strategic expansion into Europe with the setting up of a state-of-the-art OFC (optical fiber cable) manufacturing plant in Poland.
HFCL’s manufacturing plant in Poland will begin with a capacity of 3.25 mn fkm, scalable up to 7 mn fkm, with initial capital outlay up to ~Rs 144 crore, fulfilling increasing OFC demand. This move will not only enhance HFCL’s agility but also reduce transit times by approximately six weeks, thereby enabling an increase in order fulfillment capacity.
This project is aimed at addressing the increasing demand for OFC in European markets such as the UK, Germany, Belgium, France, and Poland.
Ryanair plans 10% air traffic growth in Poland in 2024
Ryanair plans to increase traffic in Poland by 10 percent from 16.4 million passengers to 18 million passengers.
Ryanair's CEO Michael O'Leary highlighted the stagnation at Warsaw Modlin Airport due to increased airport fees and inadequate infrastructure, emphasizing the need for terminal expansion and gate improvements. In 2023, Ryanair offered the highest share of seats in Poland (34%).
ActiveCampaign expands to Poland with a new hub
ActiveCampaign, Chicago-based software as a service platform for small-to-mid-sized businesses, will open of a technology and product-focused hub in Kraków, Poland.
With a growing tech community and a wealth of engineering expertise, Krakow emerged as the ideal destination to further global diversification of the company.
Although the physical hub won’t open until later this year, ActiveCampaign is already actively recruiting top talent in Kraków, focusing on hiring engineers and product professionals passionate about driving innovation and delivering exceptional results.
Nordic ARKET to open first store in Poland
ARKET, a Nordic fashion and lifestyle brand, will expand its presence to the Poland by opening its first store in Warsaw in 2024.
Based in Stockholm, Sweden, ARKET is a modern-day market and lifestyle brand created to simplify good choices and provide inspiration for a more beautiful everyday life. The collections offer ready-to-wear and accessories for women, men, and children, complemented by interior essentials for the home.
"We're thrilled to announce the imminent launch of our flagship ARKET store in Poland and eagerly anticipate connecting with our Polish clientele in person," said Pernilla Wohlfahrt, Managing Director at ARKET.
ARKET’s design philosophy is rooted in the Nordic modernist movement of the 20th century, which aimed to bridge the worlds of arts, crafts, and functional form to produce affordable and accessible items.
Data4 expands in Poland
Data4, French investor and operator of data centers in Europe, is on the lookout for the location of its second campus in Poland. Moreover, CEO Oliver Micheli disclosed that the company plans to invest up to EUR 500 million in developing its first data center campus near Warsaw. The initial campus, named Warsaw 1, is expected to be fully developed by the end of the decade.
In the interview published by PAP Biznes, Micheli emphasized that the decision to enter the Polish market was not solely to cater to Polish companies but also to establish Warsaw as a gateway to Central and Eastern Europe. The CEO also praised the quality of Polish engineers, noting the country's sizable workforce in the IT sector. He expressed optimism about leveraging Polish talent to serve other markets effectively.
Estonian Sunly secures financing to build 98 MW of solar projects in Poland
Sunly, an independent renewable energy producer operating in Poland and the Baltic States, has secured a EUR 63.4 million loan from mBank to further its initiatives in renewable energy. This financing will facilitate the construction of photovoltaic farms totaling 98 MW in Poland, with a focus on the southern regions such as Ma?opolska, Opole, Podkarpackie, Silesian, and ?wi?tokrzyskie voivodships.
Sunly's "Rzezawa 60" farm, commissioned in 2023, stands as one of Poland's largest solar installations, capable of powering approximately 30,000 households. The recent loan from mBank underscores Sunly's commitment to further expand its presence in Polish renewable energy market.
mBank plans to provide around EUR 2.32 billion of green financing (for renewables, decarbonization, closed-loop economy, electromobility etc.) by the end of 2025.
/NATO, PolskieRadio/
NATO will establish a training center in Poland
A new NATO-Ukraine Joint Analysis, Training and Education Centre wll be created in Poland to share lessons learned from Russia’s war and create a structure for Ukrainian forces to learn and train alongside their Allied counterparts. The facility will be located in Bydgoszcz in northern Poland. Speaking?after a meeting of NATO defense ministers at the alliance's headquarters in Brussels, Polish Defence Minister W?adys?aw Kosiniak-Kamysz highlighted the unanimous approval from NATO member states for the establishment of the center.
He also emphasized Poland's leading role in defense spending among NATO countries (4.23% of GDP). Only about a third of NATO countries meet the 2% of GDP guideline target of defense spending.
POLISH BUSINESS NEWS
/Spondeo/
Main trade fairs &?industry events in Poland in 2024
19-20 MARCH 2024 | WARSAW
4 APRIL 2024 | POZNA?
9-11 APRIL 2024 | POZNA?
9-11 APRIL 2024 | WARSAW
23-25 APRIL 2024 | POZNA?
Energy & Installations Trade Fair Block
22-23 MAY 2024 | WARSAW
4-7 JUNE 2024 | POZNA?
4-7 JUNE 2024 | POZNA?
4-7 JUNE 2024 | POZNA?
24-25 JUNE 2024 | WARSAW
10-13 SEPTEMBER 2024 | POZNA?
17-19 SEPTEMBER 2024 | BIELSKO-BIA?A NEAR KRAKóW
20-22 SEPTEMBER 2024 | BEDNARY NEAR POZNA?
23-24 SEPTEMBER 2024 | POZNA?
4-6 OCTOBER 2024 | POZNA?
Accompanying event: YACHT SALON: Fair of Floating Equipment and Water Sports
10-13 OCTOBER 2024 | WARSAW
15-17 OCTOBER 2024 | POZNA?
15-17 OCTOBER 2024 | POZNA?
5-8 NOVEMBER 2024 | WARSAW
13-14 NOVEMBER 2024 | WARSAW
13-15 NOVEMBER 2024 | POZNA?
10 Polish startups to watch in 2024
1. More Growth - aids millions of users in navigating significant life decisions encompassing health and wellness, finance, and parenthood. Founded in 2022, the company has secured €4.6 million in funding.
2. Mindgram - operates as a science-based platform and mobile app for mental wellness, assisting companies in supporting the mental well-being of their employees while enhancing resilience and performance. The startup has raised €2.5 million.
3. Quesma - aims to drive innovation and enhance business value by optimizing data architecture, offering features such as interconnecting different DB client stacks, and providing load-balancing and performance optimizations for heightened security and compliance. The startup secured €2.3 million.
4. Gotiva - created a mobile application called Jigsaw Puzzle Universe, which enables content creators to distribute digital images and earn revenue as users engage with the images through jigsaw puzzles. Established in 2021, the startup has secured €1.9 million in funding.
5. Mindly - provides an extensive online platform for mental healthcare therapists and their clients. Established in 2022, Mindly boasts over 300,000 users and more than 1,300 psychologists. The company has raised €1.7 million to expand into other markets.
6. Liftero - aims to offer last-mile delivery for low Earth orbit satellites utilizing its flagship product, the reusable orbital space tug Motus. This spacetech startup recently concluded a funding round to expedite the development of the smallest orbital transfer vehicle on the market and to test autonomous operations using AI in orbit.
7. AlohaCamp - operates as a booking platform that allows customers to choose and reserve unique outdoor accommodations, including camping sites, campers, glampings, and cabins. Established in 2021, the company has already amassed over 500 sites across Spain and Poland and is rapidly expanding to become the main marketplace for distinctive outdoor camping experiences in Poland.
8. WIMBA - a VetTech startup developed an innovative process employing 4D printing and a smartphone app to create customized orthoses and prosthetics for dogs. With €928k in funding, the company has rapidly progressed to presenting patented orthoses and is expanding its market reach.
9. Holi - functions as a virtual metabolic health clinic, focusing on addressing overweight and obesity through comprehensive diagnosis and innovative therapies. Founded in 2023, the rapidly growing startup has secured €794k in funding.
10. hiPets - operates as a SaaS booking platform for pet-related services, catering to pet owners by facilitating instant reservations for services such as veterinary care, grooming, and behavior consultations via a mobile app and website. Founded in 2020, the startup has raised €725k in funding.
Polish VC market in 2023
PFR Ventures and Inovo VC published a report about activity in the Polish venture capital (VC) in 2023. Last year, 399 companies raised EUR 466 million from 210 different funds. Compared to 2022, this reflects a 42% decrease in market value.
The most noteworthy? was the round secured by ElevenLabs. The company raised approximately EUR 74 million and achieved unicorn status with a market valuation surpassing USD 1 billion.
"I expect the first half of 2024 to be a difficult period for the Polish market: due to the end of projects under the Smart Growth Operational Programme, there will be less capital available for seed projects. The picture will change significantly in the second half of the year with the inflow of FENG (European Funds for a Modern Economy) funds," commented Aleksander Mokrzycki, VP of the Board at PFR Ventures.
/EBRD/
EBRD lends EUR 90M to Polish Eko-Okna
The European Bank for Reconstruction and Development (EBRD) will provide a EUR 90 million loan to Eko-Okna, a leading producer of energy-efficient windows and doors in Poland. This investment aims to finance the construction of four new production facilities, primarily manufacturing polyvinyl chloride (PVC) windows and wooden frames.
As part of the investment, Eko-Okna is committing to higher sustainability targets for its production processes. The firm’s manufacturing will be aligned with the European Union (EU) taxonomy criteria for sustainable economic activities, enabling its products to meet the highest insulation parameters.
Eko-Okna, the second-largest European producer of window and door joinery, operates nine production and storage plants in southern Poland, employing over 11,000 people and exporting most of its products to European markets.
First nuclear power plant in Poland will be located in Pomerania
The final decision on the location of Poland's first nuclear power plant has been set. The construction site will be Lubiatowo-Kopalino in Pomeranian Voivodeship.
Despite the doubts voiced by the Pomeranian governor, preparatory work has already begun. Site preparation for in-depth geological surveys is underway, and related field work is entering the next stage. The site will be checked up to six meters deep for, among other things, the presence of possible unexploded munitions, such as those from World War II. The next stage of work will be clearing the area.
The power plant is to be built using Westinghouse AP1000 technology and will consist of three units. According to the current schedule, construction will begin in 2026, and the first unit, with a gross electrical output of 1,250 MW, will be commissioned in 2033.
How do Polish companies assess their financial situation?
Slightly more than a half of companies in Poland positively assessed their financial situation at the end of last year. What are their expectations for 2024?
According to the survey conducted by Polish Economic Institute on 1,000 companies of different sizes and industries, a favorable situation in 2024 is expected by less than half of the respondents (47%), while 16% assessed the future financial status of their businesses as difficult.
? Information and communication companies have the most optimistic outlook on their financial health in 2024. As many as 68% of this sector's representatives believe that their situation in the upcoming year will be good or very good.
? Quite optimistic are also predictions of financial and insurance enterprises (50%) and those engaged in professional, scientific, and technical activities (59%).
? Expectations of TSL companies are more pessimistic. Only 23% of them believe that in 2024 their financial situation will be good or very good, and as many as 24% are unable to predict it.
When it comes to 2023, the companies that declared an increase in margins at the same time had the best assessment of their financial situation (62%). Interestingly, among companies that did not change margins last year, a relatively large percentage (51%) also declared a good or very good financial condition of their company.
CULTURE & SOCIETY
/CBOS/
Life satisfaction in Poland in 2023
In the survey conducted by CBOS, 77% of Poles expressed satisfaction with their lives. 19% described their life satisfaction as average, while only 3% reported dissatisfaction. Comparing to 2022, there was a slight improvement in general life satisfaction (2 pp increase).
Following a period marked by a noticeable decline in satisfaction with various life aspects, likely influenced by the pandemic and subsequent inflation increase, the overall mood among Poles improved by the end of 2023. The most significant improvement was observed in the evaluation of personal income and financial situation, with satisfaction levels increasing from 29% to 39%.
/Statista/
International tourists in Poland from 2014 to 2029
According to the data from Statista, between 2024 and 2029 the number of international tourist arrivals in Poland will steadily rise, with an overall increase of 9.8 million arrivals (+11.86%). Following nine consecutive years of growth, it is anticipated that arrivals will reach 92.36 million by 2029, marking a new peak.
The data represents inbound international tourist numbers, defined by the World Bank as individuals traveling to a country other than their usual residence for purposes other than work, with a planned stay of no more than 12 months.
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