Banks will lend more to real estate industry - KPMG

Banks have become more optimistic about Polish real estate since last year, as now 80 percent expect that their own portfolio will increase over the next 12-18 months, compared to 40 percent that forecast an increase last year. Currently only 20 percent of banks expect that their portfolio will remain unchanged. “Banks have managed to solve a lot of problems arising from the financial crisis. In 2010, 19 percent of real estate loans was impaired, now only 12 percent is. According to banks, nearly 60 percent of these can be successfully restructured,” said Steven Baxted, partner at KPMG. Only 6 percent of all loans are seriously impaired, according to the report.