ABSTRACT
Financial security, including security of the public finance sector, is one of the key factors that ensure the efficient functioning of the state and its sovereignty. The stability of public finances is regarded as a requirement to ensure sustainable socio-economic development and secure the state’s position on the international arena. The state of public finances in Poland, the European Union, as well as in other countries around the world, in 2018—2020, was characterized by high volatility. A reliable, albeit preliminary, assessment of the consequences of the existing social, economic and health difficulties for the state of the public finances in Poland and the EU requires the approach from a medium-term perspective, taking into account macroeconomic conditions. In 2018, prices remained relatively stable. Inflation ran at 1.6%, which was at the lower limit of the inflation target set by the National Bank of Poland.
