Poland’s Defense Surge Fuels Economic Momentum

While much of Europe faces economic headwinds, Poland is charting a distinctly different course. The nation’s economy is projected to expand by approximately 4% in 2025, a growth rate that significantly outpaces many of its regional peers. This robust performance, captured by the iShares MSCI Poland ETF (EPOL), is being driven by a powerful combination of factors: unprecedented defense spending, solid GDP expansion, and a supportive shift in monetary policy.

A pivotal development supporting Polish assets is the recent change in interest rate direction. In November 2025, Poland’s National Bank reduced its key interest rate to 4.25%. Financial markets are now anticipating a continued easing cycle, with further cuts expected into 2026. This new Read more...