Poland: The Path to a Market Economy

Abstract

The following symbols have been used throughout this paper: ... to indicate that data are not available; -to indicate that the figure is zero or less than half the final digit shown, or that the item does not exist; between years or months (e.g., 1991-92 or January-June) to indicate the years or months covered, including the beginning and ending years or months; / between years (e.g., 1991/92) to indicate a crop or fiscal (financial) year. "Billion" means a thousand million.Minor discrepancies between constituent figures and totals are due to rounding.The term "country," as used in this paper, does not in all cases refer to a territorial entity that is a state as understood by international law and practice; the term also covers some territorial entities that are not states, but for which statistical data are maintained and provided internationally on a separate and independent basis. CONTENTS vi©International Monetary Fund. Not for Redistribution PrefaceThis Occasional Paper takes stock of Poland's experience with the transition to a market economy some four to five years into the process. IMF staff have been involved in this process from the outset under the leadership of Massimo Russo during the initial liberalization and stabilization phase associated with a 1990 standby arrangement with the IMF; Peter Hole for the 1990-91 period leading up to a Paris Club debt and debt-service reduction operation and an associated extended Fund facility with the IMF; and Michael Deppler since then. Many other staff members have contributed along the way, notably the two Senior Resident Representatives, Mark Allen (1990-93) and Markus Rodlauer (1993-present).Too many individuals have assisted with, and offered valuable comments on, the various drafts of the sections to be mentioned here. However, the authors would like to thank Robert Sierhej for his assistance in obtaining data and Sepideh Khazai for her valuable research assistance. The authors are also indebted to Patricia Emerson and Indra Perera for their extensive secretarial support. J.R. Morrison of the External Relations Department edited the paper for publication and coordinated production.The views expressed here, as well as any errors, are the sole responsibility of the authors and do not necessarily reflect the opinions of the Government of the Republic of Poland, the Executive Directors of the IMF, or other members of the IMF staff.Except where otherwise indicated, the paper reflects information available through March 1994. vii ©International Monetary Fund. Not for Redistribution I Overview Liam P. Ebrill Real GDP (percent change) Consumer prices (percent change) General government balance (in percent of GDP) Current account