Cash Loans Drive Credit Market Growth in Poland
Poland’s consumer credit market is expanding, with cash loans emerging as the strongest growth segment. According to the Credit Information Bureau (BIK), banks and credit unions issued 23.5 percent more cash loans between January and May 2025 compared to the same period in 2024.
"Not all products are growing equally fast. Cash loans are booming, and surprisingly, credit cards and overdraft products are doing quite well too," Sławomir Grzelczak, Vice President of BIK, said.
While credit card limits also saw a value increase, other products showed declines: installment loans dropped by 26.3 percent, mortgage loans by 10.9 percent, and credit cards by 2.9 percent.
Grzelczak attributes the mortgage slowdown to last year’s final months of the 2% Safe Mortgage program, which temporarily boosted demand. Despite recent interest rate cuts, BIK forecasts further growth in cash and mortgage lending in 2025, though mortgage loan value may rise below inflation.
(Newseria)
