Polish loan growth should accelerate marginally from -0.6% year on year in May 2023 to 1.8% at the end of 2023 because a new housing programme will considerably boost demand for mortgages, says Fitch Solutions in a note.
However, lending will remain weak because factors such as elevated inflation and high interest rates will weigh on consumer demand for loans. The ongoing fallout surrounding Swiss franc mortgages will continue to reduce banks’ appetite for extending loans. On June 15, 2023, the European Court of Justice ruled in favour of Swiss franc mortgage holders, stating that Polish banks encouraged customers to take out the loans more than a decade ago.
