Belgian KBC group looks for second Polish retail bank

Belgian financial group KBC, which owns 76.5% of Kredyt Bank (KB), has announced that it is ready to consider taking over another bank in Poland. KBC management board member Herman Agneessens told Reuters that his institution is willing to increase its retail market share through KB from the present 6% to around 10%. "If the opportunity to acquire a bank with a retail division presented itself, we would consider it closely," said Agneessens. However, he excluded the possibility of taking over BRE Bank. Moreover, KB, which is likely to incur a zl. 200 million loss this year due to the creation of new reserves, should record profits in 2003. KBC is also present on the Polish insurance market through a 40% stake in insurer Warta. Agneessens also said that if the opportunity of becoming a majority shareholder in the company arose, then his institution would take it. KBC has also invested in the Czech Republic, Hungary, Slovakia and recently even in Slovenia. Profits from operations in Central Europe in the first half of 2002 accounted for 17.8% of the group's total profits. (Rzeczpospolita, p. B5) M.M.