Inflation in Poland in February 2026 was more than half lower than a year ago – according to published data from the Central Statistical Office. Prices are rising at a rate that is considered optimal for the development of the economy. The inflation rate has been falling steadily and is now at its lowest level in almost two years.
See also: Inflation in Poland is the lowest in almost two years. New price data and a new basket
How much is inflation?
According to data from the Central Statistical Office, inflation (CPI) in February 2026 was 2.1%. The average price level of consumer goods and services increased by this amount compared to February 2025.
As a reminder, inflation is a persistent increase in the prices of goods and services, which leads to a decline in the purchasing power of money. We feel the effects of inflation every day – from more expensive purchases, through loan installments, to higher bills.
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The most noticeable and painful effect of inflation for everyone is the increase in prices and the decline in the value of savings. High inflation also leads to increases in interest rates, which means higher mortgage and cash loan installments. Banks are tightening the criteria for granting loans, and many people decide not to buy a flat due to falling creditworthiness.
How does rising inflation affect mortgage installments?
As Expander.pl explains, rising inflation causes the National Bank of Poland to raise interest rates, which automatically increases the WIBOR indicator, which is crucial for the interest rate on variable rate loans. This means higher installments and a greater burden on borrowers. As a result, it is more difficult to obtain a new loan, and repaying existing loans becomes more burdensome.
It is worth remembering that the mortgage interest rate depends on the bank's margin and the WIBOR base rate, which increases with the increase in interest rates. High inflation causes the installments of variable-rate loans to increase rapidlywhich limits creditworthiness and makes it difficult to buy an apartment. In such a situation, it is worth considering a loan with a fixed interest rate or an overpayment of the liability.
See also: Own contribution in a mortgage loan. How much do you need and how to collect it?
What to do with a loan when inflation is high?
As Expander.pl explains, in theory, inflation reduces the real value of debt, but in practice, higher interest rates increase cash loan installments. Banks are tightening their lending criteria, and Poles have less and less creditworthiness. If salaries do not increase at the rate of inflation, the household budget is increasingly burdened.
When inflation is high, it is worth considering overpaying the loan, investing savings in inflation-resistant assets or choosing a loan with a fixed interest rate. It is crucial to regularly analyze your home finances and compare bank offers. In times of high inflation, caution and conscious financial decisions are especially important.
