Poland Seeks Indian Investment Beyond Defence

Poland is looking to deepen economic ties with India across defence, technology, nuclear power, clean energy and investment, as Warsaw seeks to strengthen domestic industry and attract foreign capital.

Polish Finance and Economy Minister Andrzej Domański told StratNewsGlobal in Warsaw that Poland wanted to translate closer political engagement with New Delhi into concrete business agreements.

Domański identified defence, research and development, technology and energy as key areas for cooperation. He also said Poland could help Indian companies expand into the European Union by offering a base within the bloc’s industrial and technological ecosystem.

The push comes as Poland seeks to turn increased defence spending and its energy transition into drivers of domestic economic growth. The war in Ukraine has prompted Warsaw to substantially increase defence expenditure, but Domański said the government wanted that spending to generate jobs, support research and development, and strengthen Polish companies.

“I really want this money to be spent as much as possible in Poland,” he said.

The objective, he explained, was to build an industrial ecosystem around defence rather than simply purchase equipment from overseas. Investment should support universities, startups, established manufacturers and domestic technological capabilities, helping make defence spending an engine of economic growth and tax revenue.

Poland is also looking for international partners to develop its defence industry and expand export markets. Domański cited Polish defence company WB Group as an example of the potential for cooperation with India. The company’s unmanned systems have been used by the Indian armed forces.

“We are searching for export markets for our products, but we are also happy to have some technological, R&D cooperation,” he said.

For Warsaw, cooperation with India could extend beyond equipment purchases to joint technology development, research and industrial partnerships. Domański said Poland wanted closer engagement with Indian partners while building its own defence manufacturing capabilities.

Energy is another major area for potential investment. Poland plans to develop large-scale nuclear power plants as well as small modular reactors (SMRs), alongside investment in onshore and offshore energy, electricity grids and storage.

“We will develop both large-scale nuclear power plants as well as SMRs,” Domański said.

The scale of these projects will require substantial capital, making foreign investment important to Poland’s plans. Domański said Warsaw was open to equity investments and wanted more participation from Indian businesses.

He also presented Poland as a possible entry point for Indian companies seeking to expand in the EU.

“I do believe that Poland can act as a guide for Indian companies that are willing to expand in the European Union,” he said.

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He acknowledged that expansion would involve challenges but argued that Poland offered access to the European market alongside its industrial and technological base. Closer business ties could also give Polish companies greater opportunities in India.

Poland’s economic performance provides the backdrop to these ambitions. Domański said the economy was benefiting from strong consumer demand, rising wages and investment, supported by improving conditions in the euro zone. He expressed confidence that growth could remain above 3% in the quarters ahead.

He said his focus was also on identifying new sources of growth that could sustain the economy over the longer term. Developing domestic industrial and technological capabilities was central to that effort.

The war in Ukraine remains a major consideration for Poland’s economic and security policies. Domański described Russia’s invasion as “a huge tragedy” and “brutal, unforgivable Russian aggression”. He called for further sanctions against Moscow and stronger action against sanctions circumvention, particularly through Russia’s so-called shadow fleet.

He argued that sanctions were putting pressure on the Russian economy, pointing to weaker growth and higher inflation. On the prospects for ending the war, he said Ukraine must decide which terms it could accept.

“This is up to leaders to decide. And then it’s up to Ukraine to decide what’s acceptable for them. Not us, nor any other country,” he said.

Domański said Poland wanted to remain part of the peace process and that an end to the conflict would reduce uncertainty for businesses. Poland’s proximity to Ukraine and its role as a logistical hub could also position it to benefit from reconstruction.

Energy security has likewise shaped Poland’s approach to investment. Domański pointed to gas infrastructure and alternative supplies from Norway, the United States and Qatar, saying Poland had stopped importing Russian gas when the war began. He argued that earlier diversification had reduced the country’s exposure to Russian energy.

For Warsaw, the broader goal is to combine economic growth with greater energy security and domestic industrial capacity. India is being courted as both a source of investment and a market for Polish products and technology.

Defence, nuclear power, clean energy and research offer avenues for expanding cooperation. The priority now, Domański indicated, is to turn political engagement between the two countries into tangible commercial partnerships.