Changes to capital flow regulations attract German housing savings banks

As a result of Poland's soon-to-be-liberalized cash flow regulations, German housing savings banks have expressed their interest in developing operations on the Polish banking market. The German banks, who have been unable to offer their services in Poland since 1997, have been heartened by Poland's plans to lift limitations on capital flow, thus enabling Polish nationals to open foreign bank accounts and invest abroad. The new law will be reciprocal toward European Union (EU) nationals who want to invest in Poland. German housing savings banks offer a fixed interest rate and variable monthly installments, which is more attractive than the current options offered by Polish banks. Andreas Zehnder of the German Private Housing Savings Banks Association told Gazeta Wyborcza that they estimate there is a great demand for such services in Poland. Industry experts in Poland are skeptical due mainly to the lack of a housing savings tradition, but representatives of the German banks point out their success in Slovakia and the Czech Republic. (Gazeta Wyborcza, p. 15) M.T.K.