Bogusław Grabowski Critiques Poland’s Budget Strains and Military Spending

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A former member of the Monetary Policy Council and adviser to Donald Tusk again offered his economic theories to the Polish public in an interview with Newsweek. In this exchange, Bogusław Grabowski criticized Law and Justice for confusing the Polish people by labeling them as claimants. Yet his remarks extended beyond that assessment.

Criticism of military spending

Grabowski described the scale of military spending as unprecedented and warned that the full extent remains unknown. He stated that the government has not disclosed what amounts are owed or under what terms, calling this lack of transparency fundamental to Poland’s financial security.

As an economist, Grabowski forecasted that expenditure would remain high, arguing that military spending could climb from 2 percent to as much as 4 percent of GDP, without a clear timeline. He suggested that society recognizes the war’s impact and that a great deal of effort would be redirected toward this conflict abroad.

He asserted that the government fails to inform Poles about the army’s needs and the sacrifices required from citizens. He proposed two paths: citizens tightening their belts or the government adopting policies that accelerate growth so the economy can sustain higher defense spending.

Can’t afford social programs?

Grabowski did not limit his critique to military reinforcement. He criticized reductions in the PIT tax from 17 to 12 percent as an additional burden on the budget, along with subsidies for electricity, gas, coal, and social programs.

He noted that when the budget seemed stretched to its limit, political leaders raised promises such as expanding 500 plus to 800 plus and introducing a permanent 14th pension. He argued that the net amount in some projections would be higher than stated, increasing the budgetary cost and making it harder for ordinary households to adapt to higher living expenses.

Grabowski warned that the economy could slow faster than the global average and suggested that social manipulation might become a tool used to shape public sentiment.

He challenged the government’s claims about budget funds, arguing that the VAT gap cannot be explained solely by a strong economy or the handling of card transactions, which he claimed reduced opportunities for abuse. He also argued that faster economic development would be impossible if the ruling party undermined key factors supporting growth, including relations with the European Union and the fate of funds tied to the KPO. He pointed to political frictions and what he described as the politicization of the economy as barriers to development.

This line of argument, Grabowski contended, has dramatically narrowed future development opportunities for the country.

Grabowski on “a crime against society”

Grabowski added that for a decade the ruling party prevented Poland from entering a path of development, arguing that society was not prepared for it. He called this stagnation a crime against society and warned of a future where the country becomes divided between those reliant on social transfers and those who advocate for lower taxes and fewer allocations. He warned that costs would rise sharply and might collide with other pressures, creating a social barrier to change and transforming Poles into claimants in his view.

He warned that if the future prime minister spoke honestly about what lies ahead, the country could face losses because the public might become hostage to those who manipulate or mislead their fellow citizens. He described Polish society as having special importance and argued that regaining media integrity would be essential for broader global understanding and influence.

Grabowski asserted that questions posed during referendum campaigns were evidence that the ruling party failed to resolve key issues, while settlement questions at rallies were meant to show public appetite for dialogue. He claimed that a political civil war was unfolding in Poland and would be resolved within a short period. He criticized the opposition as pushing for liquidation and privatization, carrying a tone that insulted both PiS voters and the general electorate. He warned about potential consequences if the opposition won power, including harm to the military in times of international conflict and a rising contempt among the populace toward the political elites.

In closing, Grabowski reflected on what he viewed as the opposition’s approach to the economy and warned that politicians should speak more truthfully. He urged the media to stop lying and manipulating public opinion, arguing that doing so would set the stage for real change.

[Source: wPolityce]

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