Poland’s productivity has grown strongly over the past decade, and efforts to reduce the regulatory burden have been
significant. Despite impressive progress, product market regulation remains more burdensome than in most OECD
countries, partly due to the importance of red tape and the level of state involvement in the economy. Further
reduction in red tape and pursuing privatisation in competitive markets would increase competitive pressures and
ensure neutrality, notably in public procurement processes. Economic rents in many sectors seem high, as stringent
entry regulations, regulatory barriers and inefficient bankruptcy procedures induce significant resource misallocation.
A welcome deregulation of professional services is ongoing, and the government plans to further ease firm
registrations and reform bankruptcy procedures. The independence of the sector regulators in network industries and
the powers of the Competition Authority can still be enhanced, as the reform efforts in these sectors remain patchy.
The dominant positions of the incumbents and the failure of network sector regulators to introduce a level playing
field in order to secure third-party access to the sectoral infrastructure and allow new entry in the competitive
segments are another main issue. The advantages of being considered a farmer are also slowing the consolidation
process in the agricultural sector. This Working Paper relates to the 2014 OECD Economic Survey of Poland
(www.oecd.org/eco/surveys/economic-survey-poland.htm).
