Will multinational enterprises contribute to Poland’s economic resilience and recovery during and post COVID-19 pandemic

Abstract

Being part of the integration grouping, Poland benefits from the geographic, cultural and cognitive proximity to the largest investors. Making reference to the vulnerability concept and the changing nature of globalisation, presenting stylised facts on foreign direct investment (FDI) and comparing FDI to other foreign capital flows–the paper aims to predict the role of foreign-owned entities (FOEs) in Poland in the process of the post-pandemic recovery. Referring to the performance of FOEs in the 2008 crisis and comparing the volatility of various foreign inflows, FDI shall be perceived as a factor stabilising Poland’s economy in a current pandemic slowdown and stimulating the post-pandemic recovery. FOEs reveal a premium over the domestic entities, and therefore their activity in Poland is expected to be helpful in the post-pandemic recovery. The paper formulates recommendations to attract foreign investors to Poland at the post-pandemic time.