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Local government capex plans for 2012 down by only 6% on 2011


The 2012 capital expenditure plans of Poland’s local governments are worth approximately PLN 56bn (€12.5bn), i.e. roughly 6% lower compared with their capex plans for 2011, which envisioned investments of around PLN 60bn (€13.4bn) in the course of this year, according to an estimate by Rzeczpospolita (the actual capex figure for 2011 looks set to be markedly lower, at about PLN 48bn or €10.6bn, due to slow procedures, though that would still represent a 9-10% increase on 2010).

This suggests that though the EU-supported investment boom seen in 2009-2011 will begin to ease off next year, the slowdown will be far from dramatic. A more pronounced deceleration is likely in 2013, by which time many projects currently in progress will have been completed.

Of the total sum, voivodship governments plan to invest PLN 8bn (€1.8bn) and their capitals PLN 11.7bn (€2.6bn).

As before, road-building is set to be the biggest category in 2012, as cities, districts and provinces continue to upgrade and expand their roads, bridges, ring-roads, etc. The eastern voivodships will invest heavily in broadband internet networks.

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