Poland

Bank Pekao has the reputation of being the most profitable of the major Polish banks and, in 2003, its strong performance made it a clear award winner. With a 19.5% increase in net profits and 13.1% return on equity, well above its peers, the subsidiary of Italy’s UniCredit is well placed to expand in central Europe’s largest market. Pekao, which has a 10% market share, has made big strides in new product areas. With UniCredit technology and expertise, Pekao has gained a market-leading share of 30% in the mutual fund market and, with new credit scoring models, is also strong in the expanding mortgage sector. Other innovations include Poland’s first affinity card and also a leading position in standards of corporate governance and social responsibility. The bank was the initiator of the formulation of the Warsaw Stock Exchange Principles of Corporate Governance, which it adopted in June 2003. “We are achieving goals that we were foreseeing in the strategy,” says Jan Krzysztof Bielecki, president of the management board of Bank Pekao. “Thanks to further improvement in the quality of products and procedures, we observe an increasing volume of mortgages, cards, mutual funds, and other products. This entitles us to look forward with confidence.”