S&P: Polish banking sector with negative industry risk outlook

Poland's banking sector is facing negative industry risk outlook, due to increasing state ownership in the sector, rating agency S&P said. According to S&P such situation can affect competitiveness. “Although we believe that the probability of a radical conversion of Swiss franc loans at historical exchange rates has significantly diminished, we see regulatory and government initiatives, such as the new bank tax, as significantly influencing the profitability of the banking sector,” the report said. The agency doesn't have any concerns regarding Poland's sector supervision bodies, as they all meet international standards and act independently. The Polish banking sector is classified in group 5 BICRA (Banking Industry Country Risk Assessment), along with Spain, Ireland and South Africa.