New legislation set to take effect on 14 April 2026 will reshape how Poland manages public spending, introducing stricter oversight for large-scale investments while giving regional authorities more budgetary autonomy.
Poland’s Ministry of Finance announced on 3 April 2026 that it is implementing comprehensive reforms across budget classification, state budget management, and public investment oversight, with new legislation taking effect on 14 April 2026.
The amendments to the Public Finances Act, passed on 27 February 2026, are designed to enhance public spending effectiveness while maintaining transparency in financial operations across public sector entities. These changes fulfill the A2aG milestone under Poland’s National Recovery and Resilience Plan (KPO).
Restructured budget framework
The reforms introduce a redesigned expenditure classification system with unified standards extending to local government levels. A new budget classification regulation will accompany these structural changes, with implementation beginning during the 2027 budget planning cycle.
Enhanced financial flexibility
Provincial governors will gain greater authority to redistribute resources for government administration and local government unit responsibilities. The threshold for transferring investment expenditures without requiring finance ministry approval has increased fivefold—from PLN 100,000 to PLN 500,000.
Strengthened oversight mechanisms
Parliamentary and public scrutiny will intensify through mandatory disclosure of Bank Gospodarstwa Krajowego’s (BDK) financial plans in budget justifications. Additionally, ministerial budget allocations will be explicitly identified in the budget act.
The reforms establish tiered assessment requirements for major public investments: projects exceeding PLN 10 million must meet standardised legal criteria; those exceeding PLN 100 million require annual progress reporting; and investments exceeding PLN 500 million mandate published evaluation reports. The legislation also introduces improvements to local government budget procedures.
