The Ministry of Finance informs that in 2014 following transactions were concluded on the financial market:

1) Interest Rate Swap Transactions (IRS) in domestic currency,
2) Foreign Exchange Swap Transactions (FX swap),
3) Cross Currency Swaps,
4) Exchange of foreign currency.

1) Interest rate swap transactions had maturity up to 1 year and their notional amount was PLN 36.0 bn. The aim of these transactions was to distribute debt servicing costs over the time within 2014-2015. As a result of concluded transactions debt servicing costs were increased by PLN 1.95 bn in 2014 and decreased by PLN 1.97 bn in 2015.
Transactions were concluded without generating market risk. Profitability of the transactions were higher than costs of acquiring funds in domestic market.
The Supreme Chamber of Control didn't raise objections connected with purposefulness and effectiveness of these operations.
Settlement of transactions was undertaken according to Eurostat's guidelines and methodology. Information about transactions were included in the fiscal notification for 2014 delivered to the European Commission.

2) Maturity of particular transactions was no longer then one month and was established to satisfy borrowing requirements of State budget. In 2014 transactions were concluded using EUR/PLN currencies with the total notional amount of EUR 0.1 bn that equals of acquiring PLN 0.4 bn. These transactions consist of simultaneous exchange of one currency for another for a specific period of time with exchange rate set up at the moment of conclusion.
This liquidity management instrument allowed to use foreign currencies in order to borrow zloty.
The total cost of acquiring funds in domestic currency was lower than cost of alternative cost of financing with the comparable maturity.
The Supreme Chamber of Control didn't raise objections connected with purposefulness and effectiveness of these operations.
Due to the fact that these transactions included assets only, and not liabilities, they had (according to Eurostat's guidelines) no impact on the public debt level as well as on the budget deficit reported to the European Commission.

3) In 2014 r. the Ministry of Finance concluded cross currency swaps. These transactions consist of the nominal exchange of one currency for another one on the start and maturity date of the swap. The same exchange rate is used for initial and final exchange of nominal amounts. Additionally there are temporary exchanges of interest cash flows calculated on the basis of nominal amounts and fixed interest rates agreed on the date of concluding the transaction.
As a result of conducted cross currency swaps the Ministry of Finance exchanged USD 1.0 bn for CHF 0.9 bn. During the 10 years life of the transaction, the Ministry of Finance will pay semiannually fixed interest in CHF and receive fixed interest in USD. Conducted transactions allowed to borrow CHF on the more favorable conditions in comparison to the direct issuance on the Swiss market. Substantial difference between two interest rates will cause a decrease of debt servicing costs over 10 years.
The Supreme Chamber of Control didn't raise objections connected with purposefulness and effectiveness of these operations.
These contracts were published in the fiscal notification for 2014 which was reported to the European Commission. In accordance with the Council of Europe legal act cross currency swaps change the currency structure of debt and therefore are calculated in the level of general government debt.

4) In 2014, similar to previous years, Ministry of Finance concluded the exchange of foreign currency resources received from the EU and related to the public debt both on the financial market and in the central bank. Total exchange on the financial markets amounted to equivalent of EUR 9.9 bn.
The Supreme Chamber of Control didn't raise objections connected with purposefulness and effectiveness of these operations.