Polish PM Tusk Unveils Major Government Overhaul Amid Political Shifts and Economic Challenges

July 23, 2025
Polish PM Tusk Unveils Major Government Overhaul Amid Political Shifts and Economic Challenges
  • Polish Prime Minister Donald Tusk announced a major government reshuffle on July 23, 2025, aimed at restructuring the cabinet in response to recent political shifts, including the election of right-wing President Karol Nawrocki.

  • The reshuffle involves reducing the number of ministries from 28 to 21, creating two new superministries focused on the economy and energy, and appointing trusted allies to key positions.

  • Tusk emphasized that the government’s priorities are now centered on restoring order, security, and preparing for future challenges, despite setbacks such as Nawrocki’s election victory.

  • The Polish statistical office is set to release June’s unemployment rate, which analysts expect to rise slightly from 5% to 5.1%, reflecting ongoing economic adjustments.

  • New appointments include Milosz Motyka leading the energy ministry and Waldemar Zurek as justice minister, replacing Adam Bodnar, with Zurek known for defending judicial independence.

  • Marcin Kierwinski will now oversee the Ministry of the Interior, while Tomasz Siemoniak remains in a security role as coordinator of intelligence services, signaling a focus on security and immigration issues.

  • The Ministry of Finance will conduct a bond auction aiming to raise between 6 and 11 billion zlotys, supporting government funding efforts.

  • A new superministry combining finance and economic oversight has been established, led by Finance Minister Andrzej Domanski, to streamline economic governance and policy.

  • Economist Beata Javorcik forecasts Poland’s economy will grow by 3.3% in 2025 and 3.2% in 2026, marking the highest regional growth rates.

  • The government’s popularity has declined amid public discontent over perceived lack of achievements and issues like undocumented migration, according to critics.

  • Waldemar Zurek has been appointed as justice minister, succeeding Adam Bodnar, in a move seen as part of a broader shift towards more confrontational governance.

  • The right-wing opposition, led by Karol Nawrocki’s PiS party, is expected to exploit internal divisions within the ruling coalition and may use veto powers to block government initiatives.

  • Poland’s tech sector continues to expand, with over 11,000 new IT companies established in the first half of 2025, reflecting a 5% increase from the previous year.

Summary based on 12 sources


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Sources


Poland - Factors to Watch July 22

Reuters • Jul 22, 2025

Poland - Factors to Watch July 22

Poland - Factors to Watch July 23

Reuters • Jul 23, 2025

Poland - Factors to Watch July 23


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