“2% Safe Mortgage” with a new index. Borrowers may not like it
Bank Gospodarstwa Krajowego has published a new value for the index that determines the amount of subsidies in the “2% Safe Mortgage”. The index is less favourable than before, which could mean higher instalments for borrowers.
From the middle of next year, banks should not offer new products based on WIBOR
The change in the deadline for completing the transition from WIBOR to the new benchmark mainly affects existing portfolios, but the reform is gaining momentum when it comes to new products. By mid-2024, banks should have stopped offering new products based on WIBOR, said Tadeusz Białek, president of the Polish Bank Association (ZBP) and chairman of the Steering Committee of the National Working Group for Benchmark Reform.
Cost of credit holidays for banks in ’24 could be around PLN 8.06 billion
According to estimates prepared on the basis of information provided by the Credit Information Bureau (BIK) (as of 31 July 2023), the cost of future credit holidays (at their maximum utilisation) is estimated at PLN 7,703 million (on loans with a nominal value of up to PLN 400,000) and PLN 357 million (on loans with a nominal value between PLN 400,000 and PLN 800,000, meeting the additional eligibility criterion). The total estimated cost may amount to PLN 8,059 million.
Third time lucky – will the MPC cut rates again in November
Most economists think that the Monetary Policy Council will cut the cost of money in November. The main argument: the sharp fall in inflation in October. The prevailing view among economists is that November will see the third consecutive month of interest rate cuts by the Monetary Policy Council, and that the National Bank of Poland’s key interest rate will be lowered by 0.25 percentage points to 5.5% at the MPC meeting ending on Wednesday. This would mean a reduction of 1.25 percentage points in three months.
The Ministry of Finance wants to extend bridge banks exemption from the bank tax until 2024
The Ministry of Finance intends to extend until 2024 the waiver of the collection of bank tax from bridge banks within the meaning of the Bank Guarantee Fund Act, according to a draft ordinance submitted for consultation.
Can information sharing in the banking sector make a difference to the security and stability of the economy
Recent years, which have brought a whole range of unexpected and crisis situations, have clearly demonstrated the importance of digital transformation for the safe and stable functioning of the economy, says Piotr Alicki, President of the Board of the National Clearing House.
Companies that have invested in the implementation of modern technological solutions in advance have been much more efficient in dealing with the new, unprecedented market and geopolitical circumstances.
Risks also exist outside the banking system
US regulators will expand the list of systemically important financial institutions to include non-banks. They have not yet indicated which will be subject to stricter supervision, but have already established a process for expanding the list.
The fundamental role of the state as a financial market regulator
“An efficient capital market is the foundation of a country’s economic development based on knowledge and innovation. By financing the development of the most dynamic and innovative companies, the capital market boosts the productivity and competitiveness of the economy. However, the rules of the capital market are subject to government regulation. It is the state, in its role as legislator and through its supervisory authorities, that influences the desired shape of the financial market,” writes Waldemar Markiewicz, President of the Board of the Chamber of Brokerage Houses.
Family businesses as a strong foundation of the Warsaw Stock Exchange
Family businesses account for 40% of all companies listed on the main market of the Warsaw Stock Exchange (GPW), according to a report published on Monday by Grant Thornton in cooperation with the GPW.
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