Polish banks split on corporate lending growth amid economic uncertainty
Source: Pexels
Bank executives in Poland remain divided on the prospects for corporate lending growth in the coming months, with optimism alone unlikely to drive demand. For years, banks have anticipated increased corporate demand for investment financing, but Q3 again showed only modest growth in loan portfolios and historically low loan-to-deposit ratios.
While Santander and mBank remain optimistic about expanding their corporate lending portfolios, reporting annual growth rates of 8% and 5%, respectively, others remain cautious. ING Bank Śląski, for example, reported just a 1% rise in corporate loans, citing prolonged low demand since 2019 and mounting debt-servicing challenges among some clients. ING increased its risk reserves by 130% to prepare for potential defaults amid economic stagnation.
