Europe favors Poland over Asia amid geopolitical shifts, says Pekao VP

The current geopolitical landscape, while turbulent, offers significant opportunities for Polish businesses, according to Pekao bank's Vice President. He suggests that the restructuring of global business relationships is creating openings for Polish firms, particularly through the trend of near-shoring, which brings businesses closer to home. This shift is prompting many Western European companies to reduce their exposure to Asian markets, preferring to partner with reliable and allied nations like Poland.

Polish companies primarily focus their export activities within Europe, with nearly 80% of their trade remaining on the continent. Similarly, around 70-80% of Polish direct investments are also directed towards European countries. This indicates a strategic emphasis on the domestic market and the broader Central European region, followed by expansion into other EU nations and then the rest of Europe.

However, a new wave of Polish companies is emerging with a global outlook from inception. These "champions," such as Eleven Labs, Booksy, G2A, and Iceye, are built on a global operational model, possess substantial intellectual capital, attract major investors, and show strong prospects for international growth beyond Europe. The United States is a particularly significant market for these firms, especially in the digital and IT sectors where Poland performs well internationally.

Regarding financing, while Polish companies historically cited the lack of affordable funding as a growth barrier, the situation is nuanced. The Polish banking sector currently experiences significant liquidity, with deposits and savings substantially exceeding loan values. This suggests ample financial resources are available, and many businesses are self-financing their investments. Although credit in Poland might be perceived as more expensive compared to the Eurozone, the overall availability of funds is robust.