Poland has experienced devastating floods, the worst in two decades, which have submerged numerous towns in the southwestern region over the last two weeks.
In response to this crisis, the government announced on Saturday, September 28, that the draft budget for 2025 includes 3.2 billion zlotys (approximately $835.88 million) for natural disaster relief.
As per multiple outlets, after revising the 2025 budget in light of the floods, the government disclosed that the disaster recovery reserve will increase by 2.194 billion zlotys, resulting in a total of 3.191 billion zlotys.
About 20 billion zlotys from EU funds will be allocated to support the flood-affected regions.
In August, it was reported that the anticipated general government deficit for 2025 is projected to rise to 5.5% of GDP.
The expected state budget deficit for 2025 is 288.77 billion zlotys.
Furthermore, the government approved a Public Finance Sector Debt Management Strategy for 2025–2028.
The general government debt to GDP ratio is estimated to be 54.6% in 2024 and 58.4% in 2025, with projections indicating it will exceed the EU's 60% cap in 2026, reaching 61.3% in 2027 and 61.2% in 2028.
