Presidential FX loans bill will not cause financial collapse

President Andrzej Duda told TV broadcaster Polsat that he will submit a project on FX denominated mortgage loan conversion that will not cause a crash to the financial system. The president added that a group of experts is still analyzing a draft of the bill presented in January. He asserted that his proposal would be safe for the financial sector, but will also be an actual help to borrowers. In a report issued in mid-March, the KNF assessed that the burden for the Polish banking sector of converting FX mortgage loans,  in line with presidential draft bill, would likely amount to  PLN 67.2 billion. Earlier, the central bank NBP calculated the cost of the bill to be at least PLN 44 billion. In a separate report the NBP declared that the FX mortgage bill would have a negative impact on the stability of the public finance sector.