Development of the Polish municipal capital market : 1994-1996

The report focuses on trends in the overall volume, structure, and maturities of major sources of external investment funding to gminas. Major sources of external investment funding include credits from commercial banks, municipal bond issues, and grants and loans from the National, Voivodship, and Gmina Funds for Environmental Protection (NFOS, WFOS, GFOS). The first section of the report uses National Bank of Poland (NBP) statistics to paint a general picture of the development of the municipal capital market between 1994 and 1996. The second section supplements this picture with quantitative and qualitative information about the interactions between gmina and commercial banks. This information is drawn primarily from a survey of 20 banks that was carried out during the summer of 1997. The third section integrates data on the flow of resources from the Environmental Protection Funds with the information drawn from the first two sections to arrive at an estimate of changes in the structure and volume of all major sources of external investment funding available to gminas. The final section places this external finding within the context of the total budget and the total investment expenditure of the municipal sector. (Author abstract, modified)