As an early adopter of a second-pillar private pension system in 1999, and with vibrant mutual fund and life insurance industries, Poland has developed deep local debt capital markets (DCM). At the height of the 2010 eurozone sovereign debt crisis, this made the government's financing much less vulnerable to external shocks.
"If you look at the yields on Polish sovereign paper, there is no correlation with, for example, Greek government or Irish banking debt, because relative to the rest of the EU, Poland has a good macroeconomic situation and healthy banking sector," says Krzysztof Stupnicki, chief investment officer for the Polish life insurance and fund management operations of Metlife Amplico.
