Poland's private debt market could grow to PLN 16.9 bln by 2030 - consultancy
The market for private debt instruments in Poland reached PLN 2.5-4.0 billion (EUR 594-950 mln) in 2024 and could grow to PLN 16.9 billion (EUR 4 bln) by 2030, according to a report by consultancy PwC and Strategy&.
"According to the forecasts of PwC and Strategy&, in the optimistic variant the private debt market in Poland may even quadruple, reaching a value of nearly PLN 17 billion in 2030," said the head of Strategy& in Poland's financial sector services team Jakob Szucsich, quoted in the press release.
"Ultimately, private debt may become an important element of the financial strategy of Polish banks, supporting the diversification of funding sources and the growth of asset returns," he added.
According to Przemyslaw Paprotny, partner at PwC Poland, a leader in financial sector services in Central and Eastern Europe, the current value of private debt, according to estimates, does not exceed PLN 4 billion (EUR 950 mln) and does not pose a threat to the position or profitability of banks.
"On the contrary, it is possible for the interests of funds and banks to coexist, which would benefit Polish entrepreneurs," Paprotny added.
Among the key factors affecting the Polish corporate loan market, experts pointed to the macroeconomic environment, economic uncertainty and high inflation and production costs.
The report shows that private debt financing is also gaining importance globally, with forecasts indicating that it will reach USD 2.3 trillion by 2027.
Currently, 56 percent of this market is concentrated in two sectors: information technology (IT) and healthcare.
According to PwC and Strategy&, strategic financial partnerships in private debt can be an effective way for banks to become more competitive with more flexible private debt funds.
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