Partnership, knowledge, growth – the impact of Scandinavian companies on the Polish economy

This publication summarises the impact of Scandinavian companies on the Polish economy by analysing investments made over the last two decades, the scale and nature of trade, the impact on Poland’s GDP, the industry structure of Scandinavian companies’ presence, employment level and the role of Polish-Scandinavian relations within global value chains. The report was prepared in cooperation with SpotData, the economic analysis department of Puls Biznesu. An additional part of the project consists of four complementary reports analysing Danish, Norwegian, Finnish and Swedish investments.

The Scandinavian countries as a group are one of the leaders in investment in Poland and one of Poland’s most important trading partners. The total value of their investments in Poland amounts to EUR 15 billion, second only to France and Germany in this respect, and ahead of other G7 economies. A survey conducted by SPCC confirms that 68% of companies have declared an increase in investment expenditure over the next five years.

Scandinavian companies directly generate approximately 1.3% of Poland’s GDP. However, their impact on the economy is much greater. More and more local companies are involved in the development of supply chains around Scandinavian companies and exports to Scandinavia. The total value generated in Poland for customers in Scandinavia, by direct exporters or their suppliers and sub-suppliers, amounts to approximately PLN 75 billion, or 2.5% of Poland’s GDP.

The Scandinavian countries as a group are not only one of the leaders in investment in Poland, but also one of Poland’s most important trading partners. Over the last twenty years, there has been a huge change in economic relations between Poland and Scandinavia. Since Poland joined the European Union, exports from Poland to Scandinavia have increased sixfold, while imports have increased sevenfold.

So there has been a significant quantitative change, but more importantly, there has also been a change in the nature of trade. At the beginning of the 2000s, the most important goods exported from Poland to Scandinavian countries were mainly raw materials, but today exports to Scandinavian countries are much more technologically advanced.

Another important area of influence is the labour market.

Scandinavian employers employ over 200,000 people in Poland – for comparison, this is more than the entire mining and extraction sector in Poland (approx. 180,000 people). Approximately 350,000 employees are involved in the entire supply chain for exports to Scandinavia. Scandinavians are the fourth largest employer among foreign investors in Poland. Employers from Northern Europe are valued by their employees, but employers also give high marks to Polish employees.

High productivity, commitment and good education are among the key factors encouraging further business development in Poland. Scandinavian companies increasingly see Poland as a market where it is worth investing in research and development.

When talking about the impact of Scandinavian investors on the economy, we are not only referring to monetary values. An important aspect of this cooperation is the exchange of knowledge and know-how, which contributes to increased productivity across the entire business environment.
Scandinavian companies attach great importance to conducting business in accordance with the principles of sustainable development, which constitutes additional value. Scandinavian businesses, drawing on their experience from their home markets, are actively working towards the green transformation of the Polish economy, also cooperating with local partners, as exemplified by offshore investments in the Baltic Sea.