Russian Apple Ban Uproots Poland’s Corporate Haven Status

Polish corporate bonds are losing their haven appeal as Russia’s escalating stand-off with Europe and the U.S. undermines the country’s growth prospects.

While companies have sold record amounts of foreign-currency debt this year amid an economic recovery and inflation near all-time lows, a deterioration in the growth outlook may start to weigh on future issuance. Russian President Vladimir Putin banned food imports from the European Union in retaliation for sanctions stemming from the insurgency in Ukraine. Poland contributed $1.7 billion of shipments last year, with apples and pears making up a quarter of the total, government data show.