On Jan. 6, 2005, Standard&Poor's Ratings Services affirmed the 'BBB+' long term and 'A-2' short-term foreign currency, and 'A-' long-term and 'A-2' short-term local currency sovereign credit ratings on the Republic of Poland. The outlook is stable. This follows the announcement on Jan. 5, 2005, that the Polish government plans to buy back up to €12.3 billion ($16.3 billion) of outstanding Paris Club debt, subject to creditor participation. At the end of 2004, obligations to Paris Club creditors accounted for more than 10% of central government debt, and most of these obligations will be maturing before 2010. The proposed early repayment is likely to increase the average maturity of the central government's foreign debt, thereby reducing refinancing risk.
