On Oct. 7, 2004, Standard&Poor's Ratings Services revised its outlook on the Republic of Poland to stable from negative. At the same time, the 'BBB+/A-2' foreign currency and 'A-/A-2' local currency sovereign credit ratings on Poland were affirmed. The outlook revision reflects Poland's strengthened external position and a modest improvement in fiscal performance compared with earlier expectations. Robust export growth has contributed to a narrowing of the current account deficit, projected at less than 2% of GDP in 2004, which is likely to be largely financed by the recovery of net foreign direct investment inflows. The external gap is expected to increase gradually, but will still remain at less than 3% of GDP in 2005-2007. At least 50%
