Polish PiS leader Jarosław Kaczyński dismisses the EU’s SAFE program as a trap for Poland, advocating for a domestic alternative funded by central bank profits.
Polish Alternative to EU SAFE Program
President Karol Nawrocki has until March 20 to decide on a law implementing the EU’s SAFE program. Meanwhile, he and NBP president Adam Glapiński have proposed an alternative called “polski SAFE zeroproc” (Polish zero percent SAFE).
Under this proposal, a Polish Fund for Defensive Investments would be created at the Bank Gospodarstwa Krajowego, funded by profits from the National Bank of Poland (NBP). The bill for this proposal was submitted to the Sejm on Tuesday.
Kaczyński’s Critique of EU SAFE
When asked about the content of the bill and its lack of direct provisions for NBP funds, PiS leader Jarosław Kaczyński stated he had discussed using NBP resources to support economic development with Glapiński “even before he became NBP president.”
“This type of undertaking is possible,” Kaczyński said, noting that similar initiatives have been undertaken in Poland in the past. He added that “such an operation can be conducted even on a larger, perhaps significantly larger scale” based on other possibilities the national bank has.
Inflation Risks and German Domination
Kaczyński also argued that the presidential proposal does not carry inflation risks. “These are ‘square’ zlotys, as it’s colloquially said, they go for weapons,” he said. He clarified that while a larger amount of money appearing on the market carries “some minor risk” of inflation, this also applies to the EU program.
According to Kaczyński, the EU version of SAFE is “a trap for Poland” and “an absurd undertaking from a borrower’s perspective.” He believes the agreement would have “further tied us to various dependencies” and facilitated “the process of moving toward a Europe completely dominated by Germany.”
Tusk’s “SAFE Zero Złotych”
Prime Minister Donald Tusk described the presidential proposal as “SAFE zero złotych,” suggesting it does not specify any concrete funds.
Under the presidential proposal, NBP profits, previously paid to the state budget, would be redirected for defense-related tasks, including purchasing military equipment and systems, equipment for security formations, and investments in military infrastructure and logistics.
Poland’s Position in EU SAFE Program
Poland is set to be the largest beneficiary of the EU’s SAFE program, with the Polish government able to access approximately 43.7 billion euros (nearly 200 billion zlotys) in favorably interest-bearing loans for defense investments. According to government declarations, 89% of the SAFE funds are to go to Polish defense companies.
The funds will be allocated for military needs, support for the Police and Border Guard, and protection of cyberspace.
