The recent storm over the use of KPO funds has dominated public debate, raising concerns that reports about the case could damage the government’s ratings. SW Research examined this question for Rp.pl.
Government ratings in relation to the KPO case
In a SW Research survey for Rp.pl, respondents were asked whether controversies regarding the disbursement of KPO funds to representatives of the hotel‑restaurant‑gastronomy sector (HoReCa) affected their perception of the government. 38.6% said they view the government more negatively, while 8.1% said they have a better opinion of the Council of Ministers. 30.3% believe the KPO reports did not influence their view of the government, and 23% had not heard about the case. The study was conducted on Tuesday and Wednesday among online panel users. “The analysis included a group of 800 internet users over 18 years old. The sample was selected by a random quota method. The sample structure was adjusted using an analytical weight to match the structure of Poles over 18 with respect to key characteristics related to the subject of the survey. The construction of the weight took into account socioeconomic‑demographic variables.” – Rp.pl claims.
Reports on KPO spending
In recent days, doubts have emerged in the media about the propriety of KPO fund disbursements. Media outlets report, among other things, that funds intended for the development of the hotel‑restaurant‑gastronomy industry were allegedly used by some companies for yachts, saunas, or coffee machines. The Warsaw Regional Prosecutor’s Office initiated investigations related to media reports of irregularities in granting KPO subsidies. The case was later taken over by the European Prosecutor’s Office. A comprehensive report on the utilization of KPO funds is slated for release in September.
Position of the Ministry of Funds and Regional Policy
“The aim of HoReCa investments under KPO is to support micro, small, and medium enterprises in the hotel, gastronomic, tourism, and cultural sectors—the industries most affected by the COVID‑19 pandemic in Poland. (…) KPO funds were earmarked to expand or change business profiles to strengthen firms’ resilience to future crises,” the Ministry of Funds announced a few days ago. It added, “Through these investment projects, industry entrepreneurs could introduce new products or services to their offerings.” “Approved applications were assessed by selected operators and their experts, who examined project coherence and cost justification. Every signal of potential irregularities is analyzed and verified, and each project is evaluated in its entirety, considering the investment goal and expected outcomes. The HoReCa KPO program includes 3,005 agreements totaling PLN 1.2 billion, of which PLN 110 million has been disbursed—less than 10% of the total. The average project value is about PLN 410,000. Project settlements occur solely via refund, and funds are released after approval of payment requests and included costs. Entrepreneurs cannot request an advance payment.” – the ministry noted.
KPO Funds in Poland
The European Commission approved Poland’s first payment request from the Recovery Fund in February last year. “This means that in the first tranche under KPO, Poland will receive €6.3 billion (approximately PLN 28.8 billion)” – the Ministry of Justice stated at the time. It indicated that the money is intended, among other things, for subsidies to replace old stoves, train line modernization, ring road construction, and high‑speed internet access. “We will receive almost €60 billion (about PLN 255.8 billion), of which €25.27 billion (PLN 107.99 billion) will be grants and €34.54 billion (PLN 147.81 billion) in the form of preferential loans,” we read on Gov.pl.
