On Nov. 5, 2003, Standard&Poor's Ratings Services lowered its long-term local currency sovereign credit and senior unsecured debt ratings on the Republic of Poland to 'A-' from 'A', and its short-term local currency sovereign credit and commercial paper ratings to 'A-2' from 'A-1'. The downgrade reflects widening fiscal deficit projections and the continued rapid increase in the government's indebtedness. At the same time, Standard&Poor's affirmed all its other ratings on Poland, including its 'BBB+' long-term foreign currency sovereign credit rating. The outlook remains negative. The ratings on Poland are supported by: A good external liquidity position. Gross external borrowing requirements (current account deficit plus long and short-term debt payments) are projected at an annual average of
