a beleaguered currency as central bank blunders, European Union infighting, and government scandals knock around the currently ruling Law & Justice party of Poland heading into next month’s critical parliamentary election.to the confusion of market participants everywhere, given the Polish inflation rate still remains above 10%. The Governor of the NBP, Adam Glapinski, has been accused of using the central bank’s authority to bolster support for the PiS.
Poland recently moved to ban additional imports of Ukrainian grain, citing a need to protect their economy and their domestic farmers. Shipments of Ukrainian grains have increased in recent months as the Russian blockade of Ukrainian exports sees market excess sloshing into neighboring countries. Poland, along with several other countries in the Eastern EU, are facing formal charges and lawsuits from Ukraine in both the EU trade courts and the World Trade Organization over the grain bans.
The PiS has undergone damage control, unexpectedly firing the part’s foreign minister for consular affairs, and terminating all contracts for external companies that handle visa processing. The head of the Polish foreign ministry’s legal and compliance department was also terminated.