Privatization in Poland

Last updated March 02, 2021

Privatization in Poland includes:

1996 Polish referendums, a double referendum on enfranchisement and state property
Balcerowicz Plan, method for rapidly transitioning from an economy based on state ownership and central planning, to a capitalist market economy
Powszechny Zakład Ubezpieczeń, a publicly traded insurance company

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The Balcerowicz Plan, also termed "Shock Therapy", was a method for rapidly transitioning from an economy based on state ownership and central planning, to a capitalist market economy. A group of experts, which they formed together with Balcerowicz, including Dr. Stanisław Gomułka, Dr. Stefan Kawalec and Dr. Wojciech Misiąg, in September 1989 created a reform plan based on an earlier idea of prof. Jeffrey Sachs, and on October 6, an outline of this plan was presented to the public by Balcerowicz at a press conference broadcast by TVP.

Poland does not use the euro as its currency. However, under the terms of their Treaty of Accession with the European Union, all new Member States "shall participate in the Economic and Monetary Union from the date of accession as a Member State with a derogation", which means that Poland is obliged to eventually replace its currency, the złoty, with the euro.

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A double referendum was held in Poland on 18 February 1996. One concerned enfranchisement, whilst the others concerned state property. The first was ordered by the President, whilst the others were created on the basis of resolution made by Sejm. All except one were approved by over 90% of voters. However, voter turnout was just 32%, well below the 50% threshold required to make the referendums valid.

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