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ING Bank Śląski SAING BSK lender sees growing interest in corporate loans; margins fall in this segment
Listed lender ING BSK is observing increased interest in corporate loans, which has not yet translated into an increase in loans at the bank, CEO Michal Boleslawski told a press conference following the release of ING BSK's financial report. He added that margins in the corporate segment have fallen sharply on the market and that ING plans to present an updated strategy in November,
"We have completed a review of the bank's strategy. We are not yet ready to present it; we will do so on November 19," CEO Boleslawski told the press conference.
He added that among the ideas submitted by employees are those related to improving customer service liquidity, but there are also many initiatives related to private banking.
"We are focusing on this because the increase in fund sales is already something that is, to a certain extent, the realisation of these announcements, but this is only the beginning. We will encourage more active sales, and this will involve the brokerage house, investment funds and the private banking network," Boleslawski said.
In its report, ING BSK stated that in the fourth quarter of 2025, it plans to present an updated strategy, which will define strategic objectives (including financial ones), possible risks associated with the implementation of the strategy, as well as the bank's opportunities and competitive advantages.
The CEO said that in recent months, the bank has observed an increase in interest in loans on the part of companies, both in terms of inquiries and financing applications. The increase in interest is diversified and spread across many sectors of the economy.
He added that this situation has not yet translated into an increase in loans at the bank.
"The emphasis varies across this portfolio – loans to small and medium-sized enterprises are actually growing, while we are not seeing an increase in loans to the largest companies, even though we have participated in many transactions that should translate into an observable increase in volumes in the third and fourth quarters," Boleslawski said.
"We are seeing an increase in companies' interest in loans, we are seeing that the so-called pipelines are filling up, there is a real recovery, but this is not yet translating into net loan growth. At the same time, we are seeing a lot of activity on the part of Poland's state development bank BGK and funds that are alternatives to the form of lending that we offer," he added.
The lender's CEO pointed to falling margins in this market segment.
The bank's interest income in the second quarter amounted to PLN 2.17 billion (EUR 507.8 mln), 4 percent below analysts' expectations. Interest income increased by 6 percent year on year and decreased by 2 percent quarter on quarter.
In the second quarter of 2025, the interest margin fell to 3.2 percent from 3.4 percent in the first quarter.
"We have a 2 percent decline in interest income, but if we link this to the PLN 52 million result on derivatives and hypothetically shift it to the interest margin, there is no negative impact," said deputy CEO Bozena Graczyk.
"However, on the other hand, it should also be noted that in this quarter, despite positive changes in balance sheet structures, which continue to have a positive impact on the interest margin, we also have increased funding costs resulting from the continuation of promotions for new funds," she added.
ING BSK's deputy CEO assessed that the bank's interest margin remains stable.
"This quarter is one in which there has been a significant change in interest rates, unexpected from the perspective of the change in curves and market expectations, due to the decision of the Monetary Policy Council in April, and this turbulence is very clearly visible in our financial results," Graczyk said.
In the second quarter of 2025, ING BSK granted nearly PLN 4.92 billion (EUR 1.15 bln) in mortgage loans, which represents a year-on-year increase of 29 percent.
"A competitive offer and a good lending process mean that our market share in the sale of new mortgage loans is close to 21 percent. This puts us in second place on the market," CEO Boleslawski said.
Bank's deputy CEO Graczyk said that the bank supports plans to prepare a model agreement for mortgage loans.
"We hope that this work will be completed soon and that a model mortgage loan agreement will be introduced, also through a legal tool in the form of a legal act, which will further strengthen the security of this product," she added.
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