Poland's new CHF mortgage stance positive for banks - Moody's

Poland's reversal of the stance to CHF mortgage conversions is credit postive for Polish banks, Moody's rating agency said. “Jarosław Kaczyński indicated that the government would not force the conversion of Swiss franc mortgage loans to Poland's local currency, the złoty, a reversal of the government’s earlier announced intention,” the report read. “The turnaround is credit positive for Poland’s banks because the initial conversion proposal would have reduced bank capital, investor confidence and lending.” Last Friday, Kaczynski said that CHF mortgage borrowers should seek justice in courts, as the government cannot accept systemic solutions that would hurt banks.