Finance
Poland has one-off chance to use gold profits for defence, central bank chief says
Published by Global Banking & Finance Review®
Posted on March 11, 2026
2 min readLast updated: March 11, 2026
Quick Summary
Poland’s central bank governor says unrealised gold profits of about 197 billion zlotys (~$54 billion) present a one‑off opportunity to fund defence needs—yet the president and NBP want a sovereign alternative, despite zero interest from the government.
Poland Considers Central Bank Gold Profits for Defence Spending
Debate Over Financing Poland's Military Expansion
By Karol Badohal
Central Bank Proposal and Government Response
WARSAW, March 11 (Reuters) - Poland has a one-off chance to use unrealised profit on gold reserves to finance military spending, National Bank of Poland Governor Adam Glapinski said on Wednesday, adding that the government has expressed "zero interest" in the proposal however.
Presidential Plan for Defence Funding
Last week, Polish President Karol Nawrocki announced a plan for financing defence equipment purchases using central bank reserves instead of funds from the European Union's Security Action for Europe (SAFE) programme, creating a new front in his ongoing conflict with the pro-EU government.
Opposition Concerns and EU Involvement
Warsaw was the biggest beneficiary of the EU's 150-billion-euro SAFE programme, but the nationalist opposition, which backs Nawrocki, says the plan would limit arms purchases from Warsaw's most important ally, the U.S., and see Brussels more involved in defence, which they oppose.
Financial Details and Political Context
Glapinski said on Wednesday the unrealised profits of the NBP resulting from the increase in gold prices amounted to 197 billion zlotys ($53.75 billion).
Poland's liberal government has been calling on Nawrocki to sign a law creating a mechanism to spend 43.7 billion euros in European Union loans to boost the military.
($1 = 3.6650 zlotys)
(Reporting by Karol Badohal, Pawel Florkiewicz, Alan Charlish, writing by Anna Wlodarczak-Semczuk; editing by Alexandra Hudson)
Key Takeaways
- •Poland holds c. 197 billion zloty in unrealised gold gains that could be tapped for military spending, per NBP Governor Glapiński.
- •President Karol Nawrocki and the central bank are proposing using these reserves as a sovereign alternative to EU’s €43.7 billion SAFE loan package.
- •The EU’s SAFE (Security Action for Europe) fund would provide low‑interest loans, largely benefiting Polish defence industry—but the government remains committed to it despite the president’s resistance.
Frequently Asked Questions about Poland has one-off chance to use gold profits for defence, central bank chief says
1What is the proposal regarding Poland's gold reserves?
Poland's central bank chief suggested using unrealised profits from gold reserves to finance military spending.
2How much are Poland's unrealised gold profits worth?
The increase in gold prices has resulted in unrealised profits of 197 billion zlotys (about $53.75 billion).
3Why has the Polish government shown 'zero interest' in this proposal?
The government prefers to use European Union loans and has called for the president to approve a law enabling this mechanism.
4What is the conflict between President Nawrocki and the Polish government about?
President Nawrocki wants to use central bank reserves instead of EU funds for defence, which the pro-EU government opposes.
5How does the EU's SAFE programme factor into Poland's defence funding debate?
Poland is the largest beneficiary of the SAFE programme, but some oppose its use due to concerns over EU influence and limits on U.S. arms purchases.
