On March 22, 2005, Standard&Poor's Ratings Services revised its outlook on the Republic of Poland to positive from stable. At the same time, the 'BBB+' long-term and 'A-2' short-term foreign currency, and the 'A-' long-term and 'A-2' short-term local currency ratings on Poland were affirmed. The outlook revision reflects the improvement in Poland's medium-term fiscal outlook compared with our earlier expectations. It also reflects the economy's good economic prospects and comfortable external position. Standard&Poor's baseline fiscal scenario reflects expectations that the next government (after elections likely to take place in mid-2005) will continue the fiscal reform effort initiated by the current administration, resulting in the gradual decline of the general government deficit to 5.9% in 2005
