By Patryk Wasilewski
WARSAW--Poland's banks managed to beat the economic slowdown and
posted record-high net earnings in 2012, helped by high interest
rates and trading gains, data from the financial watchdog regulator
KNF showed Tuesday.
Though Central and Eastern Europe's largest economy slowed
sharply last year, banks managed to increase net profit 4% to 16.14
billion zlotys ($5.3 billion) from PLN15.5 billion a year
earlier.
Poland's economy slowed to 2% in 2012 from 4.3% in 2011, but
delays in interest rate cuts by the monetary panel allowed the
banks to increase net interest income to PLN35.5 billion from PLN35
billion in 2011.
A rally in Polish treasurys that brought yields on ten-year
treasury bonds to under 4% last year from above 5.6% in late 2011,
fueled banks' income from trading operations to PLN8 billion from
PLN7 billion a year earlier.
The country's two top banks - state controlled Powszechna Kasa
Oszczednosci Bank Polski S.A. (PKO.WA) and Unicredit's (UCG.MI)
unit Bank Polska Kasa Opieki S.A. (PEO.WA) will release their
full-year results in March.
Write to Patryk Wasilewski at patryk.wasilewski@dowjones.com
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