This city is drowning in debt. The authorities announce drastic cuts
Zabrze is struggling with a financial crisis, the main problem of which is debt amounting to PLN 883 million. The city authorities announce cuts.
In response to the difficult situation, the mayor of the city, Agnieszka Rupniewska, presented the “Prudential Program” aimed at regaining financial liquidity and improving the budget situation. The plan assumes radical savings measures, cuts in expenses and repayment of liabilities to the Upper Silesian-Zagłębie Metropolis (GZM) and housing communities.
Zabrze recovery plan
The mayor of the city emphasizes that without taking decisive steps, Zabrze will not be able to restore financial stability. A number of actions are planned under the program, such as reducing energy expenditure, limiting investments and adapting the number of educational institutions to the decreasing number of inhabitants. Additionally, the city is counting on a loan from the Ministry of Finance in the amount of PLN 373 million, which is to help achieve these goals.
As noted by attorney Mariusz Siwoń, failure to implement the program may result in the imposition of more restrictive actions by the Regional Chamber of Audit. Zabrze is already implementing the recommendations of this institution, which allowed the city’s income to increase by PLN 6 million this year.
Cuts in culture and education
Separate cuts will affect culture and education. The Nowy Theater in Zabrze had to give up premiere performances, and the number of educational institutions will be limited. The city also plans to restructure debt, abandon bond issues and freeze some investments.
Zabrze also has serious arrears to GZM and housing communities, amounting to a total of PLN 70 million. The debt was rolled over, which led to losses in municipal companies – their financial result in 2023 was minus PLN 80 million.
Investments in green energy
Despite financial difficulties, Zabrze plans investments supported by external financing. The city obtained PLN 17.7 million for the modernization of energy storage facilities and the installation of photovoltaic panels. These activities are intended to contribute to reducing energy costs and improving the efficiency of energy management.
The decision to implement the recovery program will be made at an extraordinary session of the City Council. The planned actions are crucial to improving the financial situation and avoiding a deepening of the crisis.
