The Polish stock market showed record growth this year, becoming one of the most successful in the world. The WIG index has risen by 28.6% since the beginning of the year. For comparison, the American S&P 500 rose by only 1%, informs Financial Times.
General Director of the Warsaw Stock Exchange, Tomasz Bardziłowski, explained that the main reason for such a rapid growth was a significant inflow of foreign capital. This was facilitated by the stable economic situation in Poland, the growth of dividend payments and the attractive valuation of Polish shares. Specifically, the securities are trading at a 15% price/earnings discount to the MSCI Emerging Markets index.
In the first quarter of 2025, the economy of Poland grew by 3.8%, which became the second highest indicator in the EU after Ireland and significantly exceeded the average level for the European Union — 1.4%. According to analysts, in 2025 earnings per share for companies listed on the Warsaw Stock Exchange are expected to grow by an average of 10%. Financial institutions, which make up about 40% of the WIG index, are especially active — they increase dividends after record profits.
Investment experts draw attention to the fact that Poland is considered as a potential logistics and economic center for the future reconstruction of Ukraine. According to Andrzej Kubisiak from the Polish Economic Institute, the expectation of peace in Ukraine is one of the key factors fueling the current growth of the Warsaw Stock Exchange — investors are investing in hopes of profitable opportunities that Poland will receive in the process of post-war reconstruction of Ukraine.
