The game over the Tribunal harms the stock market and the złoty. "Higher risk premium"

The ongoing dispute over the Constitutional Tribunal has negatively impacted investor confidence in Poland, leading to a decline in the stock market and a weakening of the złoty. Despite the political turmoil, the reaction of the stock market has been relatively muted compared to the currency and bond markets. The WIG20 index fell by over 1.5%, with banks and energy companies experiencing significant losses. The złoty weakened against major currencies, reaching its lowest value against the euro in nearly three years. Analysts warn that prolonged political instability could increase institutional risk and affect Poland's credit rating. The political climate is expected to intensify as the 2027 parliamentary elections approach, potentially leading to further economic challenges.