A competitive and increasingly diversified economy Sound and balanced growth prospects supported by strong investment and accelerating private consumption Moderate and declining external leverage High general government debt burden Weak prospects for market-oriented structural reform, privatization, and fiscal consolidation High, albeit declining, unemployment The upgrade of the Republic of Poland on March 29, 2007, reflected the country's strong and balanced growth prospects, which have remained decoupled from Poland's deteriorating political environment. Further ratings support stems from a competitive and increasingly diversified economy, and a moderate and declining external debt burden. The ratings remain constrained, however, by political instability that obstructs progress in structural reforms; a high general government debt burden; and by high, albeit falling, unemployment. Strong investment growth and
