# Balcerowicz Plan (1990)

URL: https://poland-history.com/timeline/1990-balcerowicz-plan
Location: Warsaw

Finance minister Leszek Balcerowicz introduced 'shock therapy': price liberalisation, a convertible złoty and hard budget constraints, ending hyperinflation at the cost of rising unemployment. Within the broader Third Republic period: Democratic Poland transformed its economy, joined NATO and the European Union and became one of Europe's leading states, while confronting new security challenges on its eastern border. At this point in the timeline (1 January 1990), the governing authority was Wojciech Jaruzelski (First Secretary of the PZPR; Chairman of the Council of State; President of Poland). General who imposed martial law in 1981 and later negotiated the transition; President 1989–1990. Balcerowicz Plan mattered because economic change affected the wealth, society and power of the Polish lands. The event is placed here so readers can follow it alongside changes in government, warfare, society, religion and culture across Polish history.

## Why it matters
Balcerowicz Plan mattered because economic change affected the wealth, society and power of the Polish lands.

Ruler at the time: [Lech Wałęsa](https://poland-history.com/rulers/lech-walesa)

## Sources
- [Wikipedia — Balcerowicz Plan](https://en.wikipedia.org/wiki/Balcerowicz_Plan)
- [Encyclopaedia Britannica topic lookup — Balcerowicz Plan](https://www.britannica.com/search?query=Balcerowicz+Plan)
- [Wikipedia — History of Poland (1989–present) (period overview)](https://en.wikipedia.org/wiki/History_of_Poland_(1989%E2%80%93present))