DEVELOPMENTAL CAPACITY OF VOIVODESHIP-LEVEL LOCAL GOVERNMENTS UNDER UNSTABLE CONDITIONS

In Poland the regional government management is affected by the instability of the economic and legal environment. Therefore, the aim of the article is to assess the development opportunities of local government units in Poland compared to changes in the overall economic situation. We used a comparative analysis of selected measures of local government units' financial condition characterizing their ability to implement development activities. The TOPSIS multi-criteria analysis method was used in the assessment of the financial determinants of development of local government voivodeships on a regional basis. The assessment covered the years 2019-2023. The research showed that voivodeship local governments were mostly characterised by high and moderate development potential. By 2022, there is noticeable reduction in investment activity and under utilisation of full development capacity. From 2023 onwards, one may notice an upturn in the investment activity of voivodeship local governments.