The negative effect of media on the Polish economy

As I mentioned in my last blog posting, the credit crunch had not had such a dramatic effect in Poland and some other Central European markets. However now there has been a reduction in market confidence in Poaland due to negative comments in the media, not due to a reduction in bank lending.

Polish banks are still willing and able to lend money to companies and individuals for property and commercial purposes, however people are not borrowing, due to what they read in the newspapers.

The effect has been that the Polish property market has almost stopped and many developers and builders now have unsold property on their books.

In both Poland and the Czech Republic the forecasts for the growth in GDP have reduced dramatically from around 4 to 5% to 1 to 2%. These forecasts are, of course, far better than forecasts for the economies of Western Europe.

In addition the drop in the value of Sterling means that UK exports have not been so competitive for many years. As a result, Central Europe currently presents great opportunities for UK exporters. I hope they take up the challenge!

Author: Professor Nigel Adams

Nigel is a Professor & the first Director of the Buckingham Enterprise & Innovation Unit (http://www.beiu.co.uk) part of the Vinson Centre (http://www.vinsoncentre.com) at the University of Buckingham He also teaches, advises and mentors undergraduate students taking the innovative two year (8 term) BSc in Business Enterprise (http://bit.ly/bbe_home1) and post-graduate students taking the MSc in Entrepreneurial Consultancy in Practice (MECP) Programme (http://bit.ly/mecp_home). This masters programme develops business consultants who are able to advise business owners how to successfully grow their businesses. BBE one of only a few similar honours degree programmes in the world which offer undergraduate students the opportunity to study for a degree in Business Enterprise, whilst also starting & developing a business. These types of degree are called Venture Creation Programmes (www.vcplist.com) , Within 4 months of starting the programme students must pitch for seed-corn capital from "Buckingham Angels". Nigel also teaches Entrepreneurship to other students at the University of Buckingham and advises and mentors university students and staff and local people who want to start business or grow their businesses. Between 2002 and 2011, Nigel was Managing Director of Nigel Adams & Company Ltd, providing business, management, international marketing, recruitment and other support and advice to the management of Western companies to help them establish business operations in Central & Eastern Europe & to improve their sales. Nigel is an experienced international business adviser with more than 40 years experience in business, enterprise, management, marketing & counter-trade. He was based in Poland from 1993 until 2002, working on Polish state company restructuring projects as a British Government Know How Fund Management Adviser. Nigel is a Fellow of the Chartered Institute of Marketing (CIM) & a Chartered Marketer.