Proceedings of the 12th Economics & Finance Conference, Dubrovnik

MACROPRUDENTIAL POLICY IN POLAND

MATEUSZ MOKROGULSKI

Abstract:

The main objective of this paper is to present macroprudential measures introduced in Poland compared to other EU Member States. Macroprudential policy is applied to strengthen the resilience of the financial system in case of materialisation of systemic risk and to support long-term sustainable economic growth. In Poland a lot of effort has been made to address the problem of Swiss franc loans. Due to increasing risk weights for FX portfolios, banks have to maintain much more capital to address systemic risk compared to domestic-currency portfolios. Other macroprudential policy instruments were set to evaluate the systemic importance of large banks operating in Poland. Nevertheless, supervisory authorities from Central and Eastern European countries do not have full flexibility in implementing macroprudential policy instruments.

Keywords: macroprudential policy, capital buffer, risk weights, banking sector, systemic risk, financial stability

DOI: 10.20472/EFC.2019.012.017

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