Nykredit begins to gear-up for possible take-off in mortgage market

One of the leading Danish mortgage banks, Nykredit A/S, intends to open a subsidiary in Poland. Currently the Danish bank is awaiting permission from the Banking Supervisory Commission (KNB). They believe that in several years the market for mortgages in Poland has a chance to rapidly grow, therefore the bank wants to establish its presence on the market. Nykredit's representatives hope to receive a license soon. The Danish parent company will hold a 100% stake in the subsidiary. Currently, it is not known what the distribution network will look like. Mortgage banks, due to their specific character, do not need a large number of branches. Nykredit would be the sixth specialized institution of this sort in the country. Earlier, licenses were granted to Rheinhyp-BRE, HypoVereinsbank, Slaski Bank Hipoteczny, Bank Gospodarstwa Krajowego as well as PKO BP and Pekao. The last one does not intend to launch a mortgage business as, similarly like other universal banks, it grants home loans. (Prawo i Gospodarka, p. 1) A.Z.