Recreation of Polish state

Polish interventionism 1936-1939

• Piłsudski’s death (May 12,1935), after that date decomposition of ruling elite
• new government of Felicjan Sławoj Składkowski (1936-1939), return of Kwiatkowski as deputy prime minister in 1935
• economic goals subordinated to worsening international relations: hence focus on development of military industry associated with broader modernization plans; financing partially from French government credits
• Central Industrial District (COP) – localized in south-central Poland (nowadays south-eastern Poland due to border movements) in order to be relatively safe from invasion from East and West; constructed under auspices of 4-year plan (July 1936-1940) prepared by Kwiatkowski and not synchronised with 6-year plan of Military Modernization (hence relatively strong pressure on long-time goals and infrastructure development); during the war Germans first decapitalize the district, then heavily invest (beyond the reach of the Allies’ bombing airplanes)
• success of 4-year plan as basis for long-time investment plan 1939-1954 focused on economic convergence between different parts of the country
• March 1939 – changes in the statute of Bank of Poland allowing for more expansionary monetary policy – too late