O E C D OECD Studies on SMEs and Entrepreneurship S t u Poland d ie OECD Studies on SMEs s o KEY ISSUES AND POLICIES n and Entrepreneurship S M The rapid growth of entrepreneurship and small firms has been one of the greatest successes E in post-Communist transformation in Poland. SMEs have greatly contributed to employment, s a POLAND investment and value added in the Polish economy. However, key barriers to further growth remain n d in the business environment for SMEs and entrepreneurs. This book sets out the current SME E n KEY ISSUES AND POLICIES and entrepreneurship climate, reviews SME and entrepreneurship issues and policies at national t r e and local levels, and provides observations and recommendations for improving and supporting p r entrepreneurship and SMEs in Poland. e n e u r s Further reading h ip SMEs, Entrepreneurship and Innovation (2010) Clusters Innovation and Entrepreneurship (2009) OECD Framework for the Evaluation of SME and Entrepreneurship Policies and Programmes (2007) P The full text of this book is available on line via this link: O L www.sourceoecd.org/regionaldevelopment/9789264081864 A N Those with access to all OECD books on line should use this link: D www.sourceoecd.org/9789264081864 SourceOECD is the OECD online library of books, periodicals and statistical databases. For more information about this award-winning service and free trials ask your librarian, or write to us at [email protected]. ISBN 978-92-64-08186-4 -:HSTCQE=U]V][Y: 85 2010 03 1 P www.oecd.org/publishing OECD Studies on SMEs and Entrepreneurship SMEs and Entrepreneurship Poland 2010 KEY ISSUES AND POLICIES ORGANISATION FOR ECONOMIC CO-OPERATION AND DEVELOPMENT The OECD is a unique forum where the governments of 30democracies work together to address the economic, social and environmental challenges of globalisation. The OECD is also at the forefront of efforts to understand and to help governments respond to new developments and concerns, such as corporate governance, the information economy and the challenges of an ageing population. The Organisation provides a setting where governments can compare policy experiences, seek answers to common problems, identify good practice and work to co-ordinate domestic and international policies. The OECD member countries are: Australia, Austria, Belgium, Canada, the Czech Republic, Denmark, Finland, France, Germany, Greece, Hungary, Iceland, Ireland, Italy, Japan, Korea, Luxembourg, Mexico, the Netherlands, New Zealand, Norway, Poland, Portugal, the Slovak Republic, Spain, Sweden, Switzerland, Turkey, the United Kingdom and the United States. The Commission of the European Communities takes part in the work of the OECD. OECD Publishing disseminates widely the results of the Organisation’s statistics gathering and research on economic, social and environmental issues, as well as the conventions, guidelines and standards agreed by its members. This work is published on the responsibility of the Secretary-General of the OECD. The opinions expressed and arguments employed herein do not necessarily reflect the official views of the Organisation or of the governments of its member countries. ISBN 978-92-64-08186-4 (print) ISBN 978-92-64-08191-8 (PDF) DOI 10.1787/9789264081918-en Series: OECD Studies on SMEs and Entrepreneurship ISSN 2078-0982 (print) ISSN 2078-0990 (online) Photo credits: Cover illustrations: © PhotoAlto/Getty Images, © David Wasserman/Brand X Pictures/Getty Images, © Tim Pannell/Corbis, © Andersen Ross/Photodisc/Getty Images. Corrigenda to OECD publications may be found on line at: www.oecd.org/publishing/corrigenda. © OECD 2010 You can copy, download or print OECD content for your own use, and you can include excerpts from OECD publications, databases and multimedia products in your own documents, presentations, blogs, websites and teaching materials, provided that suitable acknowledgment of OECD as source and copyright owner is given. All requests for public or commercial use and translation rights should be submitted to [email protected]. Requests for permission to photocopy portions of this material for public or commercial use shall be addressed directly to the Copyright Clearance Center (CCC) at [email protected] or the Centre français d’exploitation du droit de copie (CFC) at [email protected]. FOREWORD Foreword T his book is the result of an OECD review at national and local levels of small and medium-sized enterprise (SME) and entrepreneurship issues and policies in Poland, undertaken as part of the 2009-2010 programmes of work of the Working Party on SMEs and Entrepreneurship (WPSMEE) of the Committee on Industry, Innovation an and Entrepreneurship (CIIE) and of the Local Economic and Employment Development Committee (LEED). These independent reviews are undertaken by the OECD Secretariat at the request of OECD member and non-member country governments, and the analysis and recommendations are agreed by Working Party and Committee delegates. This book’s purpose is to set out the main analysis and recommendations of the SME and entrepreneurship policy review of Poland, requested by the Polish Ministry of Economy. It presents the OECD’s assessments of the current state of SME and entrepreneurship performance in Poland, its framework conditions and business environment, the existing set of SME and entrepreneurship policies and programmes, the role of local tailoring of policies and programmes and the coherence between policies and programmes at national and local levels, and discusses the policy recommendations that follow. It is intended both to support policy and programme development in Poland in order to further strengthen the critical SME and entrepreneurship sector and to provide inspiration to policy makers in other countries faced with similar challenges. A Steering-Group comprised of Austria, Denmark, New Zealand and the United States guided the preparation of the Review. A Draft Report was submitted for peer-review to the Working Party on SMEs and Entrepreneurship (WPSMEE) on 28 October 2009 at its 36th Session. The two countries playing the role of examiners were: Spain (Mrs. Paloma Fernández Peña, Ministry of Industry, Tourism and Trade) and the Unites States (Mr. Randy Mitchell, US Department of Commerce). The publication was prepared under the supervision of Marie-Florence Estimé, Deputy Director of the OECD Centre for Entrepreneurship, SMEs and Local Development (CFE). The main authors are Paul Atkinson (Senior Research Fellow at Groupe d’Économie Mondiale de Sciences-Po, Paris, France), LoisStevenson (Visiting Research Fellow in Cairo for Canada’s International Development Research Centre [IDRC]) and JonathanPotter (Senior Economist, Local Economic and Employment Development Division, CFE, OECD). The following consultants provided material for the local dimension chapter: Dr. Patries Boekholt (Technopolis BV, Amsterdam, Netherlands), Professor AndyPike (University of Newcastle upon Tyne, United Kingdom), and Professor David Smallbone (Kingston University, United Kingdom). AlessandraProto, Policy Analyst, CFE, OECD, also provided material and participated in the management of the local component of the review. Helpful assistance on the enterprise performance diagnostic information and policy information was provided by Dr.KarolinaNessel (European School, Kraków, Poland). Jorge GálvezMéndez (Policy Analyst, OECD) provided research assistance for the publication. OECD STUDIES ON SMEs AND ENTREPRENEURSHIP: POLAND © OECD 2010 3 FOREWORD The OECD Secretariat would like to express its sincere thanks to the Polish authorities, in particular the Ministry of Economy and the Polish Agency for Enterprise Development, for their active, intense and fruitful co-operation and support, all of which led to the successful preparation of this book. Sergio Arzeni Director, OECD Centre for Entrepreneurship Head, OECD LEED Programme 4 OECD STUDIES ON SMEs AND ENTREPRENEURSHIP: POLAND © OECD 2010 TABLE OF CONTENTS Table of Contents Executive Summary. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 11 Chapter 1. SME and Entrepreneurship Performance in Poland Today . . . . . . . . . . . . . . . 19 Introduction . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 20 Size and structure of the SME sector. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 22 SME sector performance. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 28 Entrepreneurship in Poland . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 37 Regional and local variations. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 45 Fundamental structural and enterprise-level challenges in Poland . . . . . . . . . . . . . 53 Notes . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 55 References. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 57 Chapter 2. SME Framework Conditions and the Business Environment in Poland. . . . 61 From transition to convergence: strategic framework. . . . . . . . . . . . . . . . . . . . . . . . . 62 Overview and barriers to SMEs and entrepreneurship. . . . . . . . . . . . . . . . . . . . . . . . . 63 Human resources and entrepreneurial capabilities. . . . . . . . . . . . . . . . . . . . . . . . . . . 70 Access to financing . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 79 Social security and tax systems. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 82 Product market conditions. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 87 Business law and horizontal regulatory issues. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 92 Research, development and technology. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 99 Conclusion . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 105 Notes . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 107 References. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 109 Chapter 3. SME and Entrepreneurship Policies and Programmes in Poland. . . . . . . . . . 111 Introduction . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 112 The SME and entrepreneurship policy agenda . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 113 The SME and entrepreneurship policy structure . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 116 The SME and entrepreneurship-related support structure. . . . . . . . . . . . . . . . . . . . . 118 Policies, programmes and measures in support of SMEs and entrepreneurship. . . 124 Conclusion . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 158 Notes . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 169 References. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 171 Chapter 4. The Local Dimension to SME and Entrepreneurship Policy in Poland . . . . . 175 The local context for SME and entrepreneurship policy . . . . . . . . . . . . . . . . . . . . . . . 176 Meeting local policy needs . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 181 Coherence between national and local policies . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 190 OECD STUDIES ON SMEs AND ENTREPRENEURSHIP: POLAND © OECD 2010 5 TABLE OF CONTENTS Conclusions. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 201 Notes . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 204 References. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 204 Chapter 5. SME and Entrepreneurship Policy Assessment and Recommendations for Poland . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 205 Successful national development requires strong enterprises. . . . . . . . . . . . . . . . . . 206 Bring back an explicit framework for policy action . . . . . . . . . . . . . . . . . . . . . . . . . . . 208 Reduce the main barriers to growth and development of SMEs and entrepreneurship. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 210 Use the EUStructural Funds wisely to build capacity . . . . . . . . . . . . . . . . . . . . . . . . . 211 Streamline policy and support-delivery processes wherever possible . . . . . . . . . . . 212 Better co-ordinate policy support at all levels. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 213 Reinforce the Polish Agency for Enterprise Development’s focus on supporting enterprise development . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 215 Make programme design and delivery of support more effective . . . . . . . . . . . . . . . 216 Further strengthen evaluation of SME and entrepreneurship policies and programmes . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 218 Notes . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 218 References. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 219 Annex A. Chronology of Major SME and Entrepreneurship Policy Events and Initiatives in Poland . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 221 Annex B. Main Strategic Documents and SME and Entrepreneurship-Related Policies Since 2003 . . . . . . . . . . . . . . . . . . . . . . . 227 Tables 1.1.Distribution of active enterprises and employment by size class, Poland, 2007. . . 24 1.2.Distribution of enterprises and employment by size class in the EU27, 2007 . . . . . 24 1.3.Sectoral distribution of non-agricultural SMEs, Poland, 2007. . . . . . . . . . . . . . . . . . . 27 1.4.Legal forms of SMEs in Poland, 2007 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 28 1.5.Enterprise entry and exit dynamics, Poland, 2001-07 . . . . . . . . . . . . . . . . . . . . . . . . . 31 1.6.New firm survival rates, Poland, 2008 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 32 1.7.Job creation impacts of new and surviving enterprises, Poland, 2003-08. . . . . . . . . 32 1.8.Growth in employment, turnover and value added, Poland, 2003-07. . . . . . . . . . . . 33 1.9.Value-added per employee by enterprise size class, Poland, 2003-07. . . . . . . . . . . . 34 1.10.Export performance by size of firm, Poland, 2001-07 . . . . . . . . . . . . . . . . . . . . . . . . . 35 1.11.Comparison of selected innovation indicators for Poland and the EU27, 2007-08. . . 36 1.12.SME contribution to innovation by size of enterprise, Poland, 2006-07 . . . . . . . . . . 37 1.13.Employed persons by employment status, Poland, 1997, 2002 and2007 . . . . . . . . . 39 1.14.Poland’s performance on entrepreneurial activity indicators, 2007 . . . . . . . . . . . . . 43 1.15.Poland’s image of entrepreneurs . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 44 1.16.Incidence of high-growth in Polish manufacturing firms, 2003-06. . . . . . . . . . . . . . 46 1.17.Regional variation in the performance of SMEs in Poland . . . . . . . . . . . . . . . . . . . . . 50 1.18.Changes in number of SMEs and SME investment outlays by region, Poland, 2003-07 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 51 2.1.Financial overview of Poland’s National Cohesion Strategy. . . . . . . . . . . . . . . . . . . . 63 2.2.Selected economic performance indicators, 2008 . . . . . . . . . . . . . . . . . . . . . . . . . . . . 64 6 OECD STUDIES ON SMEs AND ENTREPRENEURSHIP: POLAND © OECD 2010 TABLE OF CONTENTS 2.3.Barriers to Polish enterprise development by size of enterprise in order of priority, 2007. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 68 2.4.Human Capital Operational Programme for Poland: Financial overview, 2006 . . . . 71 2.5.Expenditure on education, Poland and selected countries, 2006. . . . . . . . . . . . . . . . 71 2.6.Participation in adult learning, Poland and selected countries, 2002. . . . . . . . . . . . 75 2.7.Continuing vocational training, Poland and selected countries, 2005 . . . . . . . . . . . 77 2.8.Main European destinations for migrating Polish labour, 2005-07 . . . . . . . . . . . . . . 77 2.9.Evolution of the structure of the Polish financial system, 1998-2008. . . . . . . . . . . . 79 2.10.Stocks and holders of financial instruments, Poland, end2007 . . . . . . . . . . . . . . . . 81 2.11.The Warsaw Stock Exchange, 2000-07. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 82 2.12.Doing Business in Poland, 2007-09. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 94 2.13.Innovative Economy Operational Programme: Financial overview, 2007-13 . . . . . . 104 3.1.Summary of national-level SME and entrepreneurship policies, programmes and measures in Poland, 2009. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 125 4.1.Regional variation in ROP resources in Poland. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 178 5.1.Government spending on support for SMEs, Poland, 2005 and2007-13. . . . . . . . . . 207 Figures 1.1.Registered and active enterprises, Poland, 2007. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 23 1.2.Distribution of enterprises by employment size class, OECD member countries, 2006 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 25 1.3.Distribution of employment by enterprise size class, OECD member countries, 2006 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 25 1.4.SME contribution to Polish GDP, 2007. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 26 1.5.Density of SMEs in the non-financial business economy, 2006. . . . . . . . . . . . . . . . . 26 1.6.Sector distribution of non-agricultural SME employment, Poland, 2006 . . . . . . . . . 27 1.7.Growth in number of SMEs and SME employment, Poland, 2002-07. . . . . . . . . . . . . 29 1.8.Annual growth rates in SMEs and SME employment, Poland, 2003-07. . . . . . . . . . . 29 1.9.Growth in SME employment by size of enterprise, Poland, 2003-07 . . . . . . . . . . . . . 30 1.10.Annual enterprise entries and exits, Poland, 2001-07. . . . . . . . . . . . . . . . . . . . . . . . . 31 1.11.SME contribution to employment, turnover and value added, Poland, 2003 and2007 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 33 1.12.Ranking of countries on the European Innovation Scoreboard2008. . . . . . . . . . . . . 36 1.13.Female and male shares of employment and non-agricultural self-employment, Poland, 1997, 2002 and2007 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 40 1.14.Male and female self-employment rates, Poland, 1997, 2002 and2007 . . . . . . . . . . 41 1.15.Regional distribution of SMEs, employment, revenue, investment outlays, Poland, 2007. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 47 1.16.Density of SMEs and newly registered enterprises per 1000inhabitants by region, Poland, 2007. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 48 1.17.Newly-started enterprises and exits by region, Poland, 2007. . . . . . . . . . . . . . . . . . . 49 1.18.Employees per enterprise by region, Poland, 2006. . . . . . . . . . . . . . . . . . . . . . . . . . . . 49 1.19.Private sector share of registered enterprises by size and by region, Poland, 2006 . . 52 2.1.Employment rates by educational level, Poland and selected countries, 2007 . . . . 66 2.2.Employment rates by age, Poland and OECD countries, 2008 . . . . . . . . . . . . . . . . . . 66 2.3.Barriers to enterprise development according to Polish SMEs, 2007. . . . . . . . . . . . . 68 2.4.Factors that positively affect the development of Polish SMEs . . . . . . . . . . . . . . . . . 69 2.5.Factors that negatively affect the development of Polish SMEs. . . . . . . . . . . . . . . . . 69 OECD STUDIES ON SMEs AND ENTREPRENEURSHIP: POLAND © OECD 2010 7 TABLE OF CONTENTS 2.6.Comparative educational performance, Poland and selected countries, 2006 . . . . 72 2.7.Adult learning participation rate by socio-economic characteristics, 2002. . . . . . . 76 2.8.Employed professional and technical migrants by country of residence, 2000 or2001. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 78 2.9.Credit to households and corporates, Poland, 2003-08 . . . . . . . . . . . . . . . . . . . . . . . . 80 2.10.Venture capital investment, Poland and selected countries, 2008 . . . . . . . . . . . . . . 83 2.11.Tax wedge across OECD countries, 2008 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 84 2.12.Taxes by level of government, Poland and OECD countries, 2006 . . . . . . . . . . . . . . . 85 2.13.The taxation of corporate profits, Poland and selected countries, 2006. . . . . . . . . . 86 2.14.Trade integration: Total exports and imports, Poland and selected countries, 2007. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 88 2.15.FDI inflows to OECD countries, average2003-08 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 88 2.16.Activity of affiliates under foreign control, Poland and selected countries, 2004 and2006 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 89 2.17.Product market regulation scores by domain, Poland and selected countries, 2008 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 90 2.18.Main components of the Competition Law Indicator, Poland and OECD countries, 2007 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 92 2.19.The minimum wage relative to the median wage, Poland and selected countries, 2008 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 96 2.20.Strictness of employment protection legislation, Poland and OECD countries, 2008 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 96 2.21.Time required to comply with VAT obligations, OECD countries, 2006. . . . . . . . . . . 97 2.22.R&D intensity, Poland and selected countries, 2007 . . . . . . . . . . . . . . . . . . . . . . . . . . 99 2.23.R&D expenditure, OECD and selected countries, 2007 . . . . . . . . . . . . . . . . . . . . . . . . 100 2.24.Human resources in science and technology occupations, OECD and selected countries, 2008. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 101 2.25.Researchers, Poland and selected countries, 2007. . . . . . . . . . . . . . . . . . . . . . . . . . . . 101 2.26.Firms collaborating in innovation with higher education institutions by size, Poland and selected countries, 2004-06. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 102 2.27.Business funded R&D in the higher education and government sectors, Poland and OECD countries, 2007. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 102 2.28.Broadband subscribers per 100inhabitants, Poland and OECD countries, 2008 . . . 103 2.29.Broadband penetration by size class, Poland and selected countries, 2006. . . . . . . 103 3.1.SME, entrepreneurship and innovation support structure in Poland at the national level, 2009 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 119 3.2.Intersection of SME, entrepreneurship and innovation policy. . . . . . . . . . . . . . . . . . 159 4.1.Institutions involved in the management of Poland’s Regional Operational Programmes. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 177 4.2.EUROP resources2007-13 percapita, Poland. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 178 8 OECD STUDIES ON SMEs AND ENTREPRENEURSHIP: POLAND © OECD 2010 BASIC STATISTICS ABOUT POLAND (2008) LAND AND PEOPLE Area (sq. km) 322575 Distribution of the national population Arable land (% of total area) (2007) 59 (in% of total population, 2005) Population (thousands, 2009) 38135 Urban regions 22.77 Population growth rate (2009) –0.17 Intermediate regions 39.47 Unemployment rate (Aug. 2009) 10.8 Rural regions 37.76 GOVERNMENT AND PUBLIC FINANCES Bicameral Parliamentary System General government balance (% GDP) –3.9 Sejm membership (lower house) 460 Gross general government debt (% GDP) 47.2 Senate membership (upper house) 100 Number of political parties in Sejm (2009) 5 ECONOMY GDP (PLNbillion, current prices) 1271.7 Value added by activity (as % of total value added) GDP (USD billion, at PPP) 673.1 Agriculture, hunting, forestry and fishing 3.7 GDP per capita (USD at PPP) 17660 Industry and construction 32.0 Gross fixed capital formation (%GDP) 22.0 Trade and services 45.4 Inflation rate2000-08 2.7 Government and other activities 18.9 FOREIGN TRADE Current account (USD billion) –29 Trade balance (USD billion) (2007) –20.67 Current account (% GDP) –5.5 Goods –25.38 Services 4.71 SMES AND INNOVATION Share of SMEs in total firm population (2006) 99.8 Product innovators (2006) Industry 99.5 SMEs 10.1 Services 99.9 Large firms 34.2 Share of SME employment in total empl. (2006) 68.9 Process innovators (2006) Industry 60.3 SMEs 9.9 Services 68.9 Large firms 29.5 Share of SME value added (2006) 48.4 Non-technological innovators (2006) Industry 36.5 SMEs 14.7 Services 64.5 Large firms 53.4 Sources: OECD databases; OECD (2008), OECD Economic Surveys: Poland2008, OECD Publishing: http://dx.doi.org/10.1787/eco_surveys-pol-2008-en; and Eurostat.