The multilevel governance of financial instruments in regional development policy: the case of Poland

PurposeThe aim of this article is to investigate how the use of financial instruments influences the development of Regional Development Funds (RFR) in Poland and to assess the maturity and coherence of the regional development financing system in this country.Design/methodology/approachThe methodology is based on the multilevel governance literature and on data collected during 26 in-depth interviews in regional, national and international institutions.FindingsThe authors demonstrate that the use of financial instruments stimulates new kinds of cooperation between several institutions and contributes to the establishment of RFR. The authors also show that the Polish regional financing system is still developing and formulate recommendations about necessary improvements.Originality/valueThe main contribution of this article, in addition to taking up a new, relevant topic for the regional development policy in countries benefiting from European Union (EU) cohesion policy, is the application of the multilevel governance (MLG) concept to explain the development of the Polish regional development financing system. Moreover, the significant added value of this study comes from the use of data collected during 26 in-depth interviews (IDI) in regional, national and international institutions on the use of repayable instruments in regional development policy.

Automated summary

The purpose of this article is to investigate the impact of financial instruments on the development of Regional Development Funds (RFR) in Poland and evaluate the maturity and coherence of the country's regional development financing system. The methodology is based on the multilevel governance literature and data collected from 26 in-depth interviews in regional, national, and international institutions. The authors demonstrate that the use of financial instruments promotes new forms of cooperation between institutions and contributes to the establishment of RFR. They also highlight the ongoing development of the Polish regional financing system and provide recommendations for improvement.