Fitch Cuts Poland's Outlook to Negative

Fitch Ratings revised Poland's credit outlook to negative from stable on Friday, while affirming the country's long-term foreign-currency issuer default rating at A-. The decision came amid concerns over deteriorating public finances, a rising fiscal deficit, and political headwinds. Fitch now projects deficits to average 6.7% of GDP between 2024 and 2025, as Poland contends with rising expenditures on public wages, pensions, defense, and debt servicing. Official data show the fiscal deficit in 2024 widened to 6.6% of GDP, overshooting both the government’s target of 5.7% and Fitch’s earlier forecast of 6.2%. Looking ahead, the deficit is projected to stay elevated — at 6.9% in 2025 and 6.8% in 2026. Standard & Poor's credit rating for Poland stands at A- with a stable outlook. Moody's credit rating for Poland was last set at A2 with a stable outlook. DBRS's credit rating for Poland was last reported at A with a stable outlook.