Poland's SAFE loan is becoming more expensive. In just a few months, 8 billion PLN has been added.
The euro exchange rate rose to 4.42 PLN, the highest in nearly three years, due to concerns about Poland's public finances and political situation. This depreciation increases the value of foreign debt, including the EU SAFE loan, which Poland is set to receive 43.7 billion euros. The loan's cost is influenced by both the exchange rate and interest rates, which have risen from 3.17% to 3.40%. This increase could raise total interest costs significantly. Poland's high debt levels are attributed to increased defense spending.
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