Poland urged to mobilize private capital for innovation investment

Poland must boost its competitiveness through increased investment in innovation, with a focus on mobilizing private capital, according to experts speaking at the “Banking & Insurance Forum.” The discussion highlighted the need for more robust financial backing from the private sector to tackle the country’s economic challenges, particularly in areas like energy transformation.

“We need to invest billions more in innovation if we are to catch up with the European Union,” said Tomasz Bardziłowski, President of the Warsaw Stock Exchange, during the forum. “While we are aware of the limitations of public finances, it’s crucial that private capital, including the banking sector and capital markets, steps in to support these efforts.”

Bardziłowski pointed out that private investment rates in Poland are currently lower than in other European countries, a trend that could hinder development across the continent. He also warned that Europe as a whole faces a challenge in financing its growth. “There is more savings in Europe than in the United States, yet these funds are often invested overseas due to higher returns, which results in higher capital costs for us,” he explained.

His comments underscored the importance of addressing regulatory issues to improve investment conditions across Europe.

Brunon Bartkiewicz, President of ING Bank Śląski, echoed these concerns, noting that private investment in Poland has been insufficient since 2014. He attributed this to legal and regulatory uncertainty, as well as long-standing neglect in modernizing critical infrastructure, including energy systems. The lack of investment in energy infrastructure, he said, has led to high energy costs, reducing the competitiveness of Polish businesses.

Bartkiewicz also emphasized the importance of diversifying Poland’s export markets. “Europe shouldn’t be our only reference point. We need to expand into other regions to grow faster. Our dependence on a few key markets—like Germany—makes us vulnerable. When Germany catches a cold, we get the flu,” he said.

Beata Stelmach, a member of the supervisory board at Bank Millennium, stressed the need for government involvement to support Polish companies in entering new markets, especially in regions like Africa and South America. “Diplomatic support is essential when competing in difficult markets. Without the backing of embassies and government, it’s impossible to compete with local businesses,” Stelmach said.

The forum participants agreed that while public finances play a crucial role, the key to driving Poland’s innovation and economic growth lies in a coordinated effort to unlock private capital and strengthen the country’s infrastructure and regulatory framework.

Source: ISBnews
Photo: Tomasz Bardziłowski, President of the Warsaw Stock Exchange and Brunon Bartkiewicz, President of ING Bank Śląski