Poland has introduced new financing instruments for industry

Polish President Karol Nawrocki has signed amendments to the law on the development agency system, which open the possibility of providing loans to strategic enterprises through the Industrial Development Agency (ARP). Jastrzębska Spółka Węglowa—the largest producer of coking coal in the EU—could be the key beneficiary of these changes. This is stated in the company’s press release.

The aim of the changes is to create a legal framework for financial support for companies that are of systemic importance to the economy but have found themselves in a difficult situation. The funds received may be used for business reorganization, cost reduction, and management structure optimization. A condition is the submission of a recovery plan and confirmation of the ability to service the debt.

The issue of supporting JSW has become pressing amid the company’s deteriorating financial performance. As early as the fall of 2025, management warned of the risk of losing liquidity as early as the spring of 2026 without anti-crisis measures. In response, a restructuring program was prepared, which calls for cost reductions and simplification of the group’s structure.

As part of this program, in February 2026, JSW reached agreements with labor unions to reduce personnel costs. Additionally, in March, ARP acquired two subsidiaries from the company—Przedsiębiorstwo Budowy Szybów and Jastrzębskie Zakłady Remontowe—for over 1 billion zlotys. The funds raised are intended to support the implementation of the recovery plan.

The new financing mechanism is expected to stabilize JSW’s financial position and ensure the continuity of coking coal supplies to Europe’s metallurgical industry.

As a reminder, in the first quarter of 2026, JSW increased its coking coal production by nearly 20% year-on-year—to 2.78 million tons—which was the key driver of the group’s production growth. Total coal production rose by 13.1% year-on-year – to 3.24 million tons.