Net financial result of banking sector up by 21.5% y-o-y in H1

2010-08-27

The net financial result of the banking sector amounted to PLN 5.42bn (approx. €1.4bn) in the first half of 2010, which translates into an increase of 21.5% compared with the same period of the previous year, according to preliminary figures from the Financial Supervisory Commission (KNF). The sector's capital adequacy ratio improved considerably over this period, to 13.5% from 12.4% at the end of June 2009.
During the analysed period, zloty-denominated corporate loans were worth almost PLN 154.5bn (€38.6bn), a drop of 5.3% in relation to a year earlier. Corporate loans denominated in foreign currency registered a fall of 8.7% y-o-y to nearly PLN 56.1bn (€14bn). Local-currency household loans rose by 14.5% y-o-y to PLN 268.4bn (€67.1bn), whereas foreign-currency household loans were worth PLN 177.4bn (€44.3bn), an increase of 9.9% y-o-y.
At the same time, the value of corporate bank deposits was up by 14.2% y-o-y to PLN 167.5bn (€41.9bn). Household deposits climbed 8.7% y-o-y to PLN 401.3bn (€100.3bn).
The sector shed more than 2,000 jobs in the 12 months to June, bringing total employment to just over 176,400 people at the end of H1 (a drop of 1.1% y-o-y). By contrast, the branch network expanded by 50 outlets over this period, to 14,597.