Poland's Coalition Moves to Try Central Bank Chief for Harming State Interests

In a significant move on Tuesday, lawmakers from Poland's ruling pro-European Union coalition initiated a process to bring the head of the National Bank of Poland, Adam Glapinski, before a special court over allegations of acting detrimentally against the nation's financial interests. This action could potentially result in Glapinski being barred from holding any political office. The coalition, under the leadership of Prime Minister Donald Tusk since December, aims to address and rectify the actions of the previous right-wing government, criticized for its undemocratic practices.

The motion to present Glapinski before the State Tribunal, a body responsible for trying top state officials, was filed at the parliament office. This procedure, if successful, could see Glapinski removed from his position and banned from all state roles. Tomasz Trela, one of the motion's authors, labeled Glapinski as the "worst head of the National Bank of Poland since 1989", accusing him of converting the bank into a political tool for the former government.

However, this move has sparked controversy. Pawel Szalamacha, a member of the bank's board, criticized the motion as an attack on the central bank's independence, suggesting it could undermine the Polish state and economy. Appointed in 2016 by the then-conservative Law and Justice party and now serving his second term, Glapinski faces allegations including illegal funding of state deficits and weakening the national currency to benefit Law and Justice, alongside approving substantial bonuses for himself.

In September, ahead of parliamentary elections and amidst high inflation rates, the bank significantly reduced interest rates. This decision was interpreted as an attempt to garner voter support for the populist Law and Justice party. Despite criticism, Glapinski defended the rate cut as justified based on projections of decreasing inflation—a prediction that has materialized with inflation dropping to 2.8% in February.

The motion against Glapinski has garnered support from 191 coalition lawmakers and will trigger a special parliamentary committee investigation into the allegations. Should these claims be substantiated, it would lead to a parliamentary vote on whether to try Glapinski before the tribunal. Observers note that this process could extend up to a year.

Since its establishment in 1921, only four cases have been heard before the State Tribunal, with two defendants being banned from political life. The current proceedings against Glapinski mark a rare and significant use of this judicial mechanism in Polish politics.