Integrated Report 2020

Retail and Business Banking


Retail and Business Banking provides financial services to individuals, private banking customers as well as businesses (micro-enterprises). The following customer segments are the focus of Retail and Business Banking:

  • Individual customers;
  • Premium Bankign Customers: customers investing in the Bank, or through its services, assets of at least PLN 100 thousand or those whose monthly account inflows are at least PLN 10 thousand;
  • Private Banking (Wealth Management): customers investing assets in the amount of at least PLN 1 million through the Bank; a „Family Fortunes” sub-segment was created as part of Private Banking: clients who invest assets via the Bank in the amount of at least PLN 10 million.
  • non-Agro, not preparing full financial reporting (in accordance with the principles specified in the Accounting Act) and with an annual net income for the previous financial year below EUR 2 million;
  • non-Agro, preparing full financial reporting, with an annual net income for the previous financial year below PLN 4 million and credit exposure not exceeding PLN 1.2 million;
  • Agro entrepreneurs not preparing full financial reporting, with an annual net income for the previous financial year below EUR 2 million, who conduct activities classified according to selected Polish Classification of Activities (PKD 2007) codes;
  • Professionals: entrepreneurs with limited financial reporting, in conformity with the principles specified in the Accounting Act, and following occupations defined in a separate document;
  • Individual farmers, with credit exposure below PLN 3 million;
  • Individual farmers, with credit exposure is between PLN 3 million and PLN 4 million and whose collateral in arable lands covers at least 50% of credit exposure;
  • Non-profit organizations (e.g. foundations, associations, workers unions);
  • Housing communities, property managers.

Main achievements in 2020

  • Mortgage – sales growth to PLN 5.6 billion (+30% y/y). Market share 10% in 2020 vs. 8% in 2019
  • Personal accounts – sales increase to 257 thousand (+2% y/y). My Premium Account – 16.5 thousand new accounts in 2020.
  • Microfinance – sales increase to PLN 3.45 billion (+8% y/y). Market share: 11.3% from 8.7% a year earlier (11-month data)
  • Investments (TFI and structured certificates) – sales increased to PLN 4.2 billion (+24% y/y)
  • Financing for Residential Housing Communities – sales up to PLN 176 million (+120% y/y)
  • Payment terminals (POS) – growth in sales to 4.2 thousand units (+34% y/y)
  • Facilites for Customers introduced in connection with COVID-19 pandemic:
    • loan moratoria – allowing individual clients to defer full principal and interest loan installments by 3 months or principal installments by 6 months
    • adjustment of risk assessment principles in line with the changing environment
    • making sales and post-sales processes more flexible in order to enable remote handling and purchase of products
    • PFR 2.0 Shield – over 14 thousand Micro entrepreneurs benefited from the offer
  • Mortgage loan
    • shortening the time of issuing a credit decision from 17 to 5 days for applications filed at a bank branch
    • automation of the real estate valuation process in the largest cities in Poland
    • dedicated IVR path for mortgage loans – direct connection with a consultant, dedicated customer service team
    • simplified communication with the customer – direct contact with the credit decision-maker
    • SMS messages to customers reminding them about the approaching date of releasing the last credit tranche
    • on-line mortgage: the customer generates the documents for the mortgage by him or herself and verifies creditworthiness
  • Cash loan – shortening the time of releasing funds from 6 to 2 hours (automation of the process at the Branches)
  • Transformation of the claims area, including: reduction of the number of claims by 44% y/y, reduction of claim handling time by 48%, increase in NPS ratio from the claim handling process by 11 pp y/y
  •  Prosta Polszczyzna (Simple Polish) – over 220 simplified messages together with the Prosta Polszczyzna (Simple Polish) Workshop
  • Increase in customer satisfaction (NPS indicator)
    • Bank: 24 (+9 Q3/Q2)
    • GOmobile: 34 (+13 Q3/Q2)
    • GOonline: 24 (+7 Q3/Q2)
    • Branches: 28 (+11 Q3/Q2)
  • A 9% increase y/y in the number of Customers thinking that the Bank listens to their voice and acts based on the feedback received (ZOOM Finance, Kantar)
  • Launch of Customer Lab – a place for testing customers’ expectations before implementation of planned product and process solutions
  • 49 improvements implemented thanks to Customer Excellence Board platform
  • Numerous awards and distinctions
    • Newsweek’s Ranking Friendly Bank – a place on the podium in all categories
    • Forbes Company Friendly Bank Ranking – 3rd place
    • Forbes: Special Mention for the most innovative Private Banking in Poland
    • 2020 Service Quality Star Award
    • Institution of the Year – „Best service quality in a branch”, „Best service quality in remote channels”
    • Golden Banker in the „Credit Card” category – We were ranked 3rd, promoted to 5th place (from 9th place in 2019) in the „Best Multi-Channel Service Quality” category
    • Commerce Polska Awards – award in the category Best e-Banking Implementation – as the first bank in the world we have implemented the possibility of making appointments in branches using the booking application Booksy
  • Declaration of Responsible Sales – joining the signatories of the Declaration of Responsible Sales
  • ZOOM Finance Kantar research, Bank’s online banking evaluation:
    • 90% of Customers think it is easy to use
    • 89% of Customers think they can handle all issues
  • Migration of over 211 thousand retail customers to one GOonline platform (closing the Pl@net system for retail customers)
  • Migration of 200 thousand Optima customers (rebranding of the BGŻOptima brand; migration of the internet platform to the GOonline ecosystem)
  • GOonline / GOmobile – more than 1 million active users, +19% y/y
  • 3DS implementation – mobile authentication with biometrics
  • Open-Banking (credit) – quick and easy identity confirmation process (KYC) for e-commerce customers,
  • GOmoblie: fully remote process for cash credit and account opening using selfie and video verification
  • GOmobile v2.4: implementation of a new version and new functionalities for the mobile application (e.g. setting a PIN number for the card in the application during the video verification process)
  • GOonline:
    • implementation of remote opening of brokerage accounts – nearly 40% of accounts opened through this channel
    • providing access to the credit limit increase process
    • full credit card management and ordering process
    • available after-sales instructions for the mortgage e.g. insurance policy update, early loan repayment notification
    • for Wealth Management Clients: dedicated graphic design, Click2Call, automatic Client identification, redirection to a dedicated consultant, contact details to a supervisor
  • Automation of credit decisions for business Customers for a loan up to PLN 100 thousand – shortening the time of granting the loan from 4 hours to several minutes
  • Full digitalization of the application process for long-term rental of vehicles by Arval Service Lease Polska
  • GOinvest implementation – 360′ view for Premium and Wealth Management clients
  • Expansion of mobile payment offer with Garmin Pay and Fitbit Pay
  • Implementation of e-signature and remote signing of contracts based on the Autenti solution
  • Digital authorization of cash operations (deposits and withdrawals) in branches for individual customers using a smartphone and the Autenti solution
  • Fully digital in-branch account opening process at the end of the third quarter for new individual customers
  • Starter Kit – process with video verification, cooperation with Shell

Product offer for retail customers

The Bank provides services for retail customer, focusing primarily on the personal account offer, term deposits and consumer finance products (i.e. cash loans, account limit, credit cards, insurance). The offer includes all forms of current banking services, savings, investments and loans.

With regard to the management of the retail banking product offering, in 2020, the Bank focused on improving the efficiency and profitability of products.

As of the end of 2020, there were 3 tariff plans in the personal account offer for retail customers:

flagship current account, which was ranked first in the ranking of personal accounts,

a new current account for Premium Banking clients,

for Private Banking customers.

Within Konto Otwarte na Ciebie account it is possible to issue three debit cards:

dedicated to people with lower income who are looking for cheap and transparent financial solutions,

for people who frequently shop online, use remote access channels to the bank and are concerned about safety in cyberspace; the card comes with free Cyber Assistance Insurance,

addressed to people who frequently travel abroad, appreciate the convenience and lower costs associated with foreign currency transactions.

Since the introduction of the new offering in 2019, 429,000 new personal accounts have been opened under the product – Konto Otwarte na Ciebie, of which approximately 250,000 will be opened in 2020. Sales were characterized by very high debit card penetration – only 6% of customers did not choose any of the account debit cards offered. The main sales channel for Konto Otwarte na Ciebie in 2020 were the bank’s branches (approximately 80% share of sales), the remaining figure consists of customers who opened the account through online applications and remote processes.

In April 2020, the Bank introduced the possibility of opening an Konto Otwarte na Ciebie through the GOmobile application using selfie. The new process, using video verification to confirm customer identity, is simple and intuitive. When applying for an account, users must enter their basic information and then take a photo of both sides of their ID card. In the next step, the system will ask for three pictures of your face. During this process, you need to move your head according to the instructions appearing in the application, so that the system can be sure that you have not put, for example, a photo. After positive verification, the data is confirmed and the necessary documents are sent to the customers electronically.

The Bank’s deposit offer for retail customers included savings accounts (Konto Dobrze Oszczędnościowe, Rachunek Sejf, Autooszczędzanie Savings Account) and term deposits (standard deposits in PLN and foreign currencies, Internet deposits – available through online banking, promotional deposits, progressive and special deposits – available for, among others, selected customer segments of the Bank).

In 2020 the Bank focused mainly on stabilising the savings portfolio of retail customers. Following the changes in interest rates introduced by the Monetary Policy Council, the Bank continued its policy of optimising interest margins on deposit products in Retail Banking. Periodic changes in the prices of offered term deposits and savings accounts were introduced, which, together with a change in the structure of the deposit product portfolio, resulted in a decrease in the average interest rate on the entire portfolio by 0.55 pp compared to the end of 2019.

The margin optimization included also the portfolio of BGŻOptima – a brand that is part of the Bank, specializing in offering savings and investment products in the direct model. At the end of 2020, a system migration of the BGŻOptima online platform to the new GOonline ecosystem was performed and the brand itself was rebranded, replacing it with a new one – „GOoptima”. At the end of 2020, the average nominal interest rate on the deposit portfolio in this segment was reduced to 0.12%. The volume of deposits accumulated by BGŻOptima accounted to PLN 2.7 billion, which, compared to the end of 2019, constituted a decrease of PLN 1.3 billion – the change is in line with the strategy to encourage Optima customers to use the Bank’s offer in the basic segment.

The Bank regularly launched attractive special offers for its Premium and Private Banking customers for selected maturities of the Moja Lokata Premium deposit and a promotional interest rate for the Autooszczędzanie account.

The Bank has prepared a dedicated offer of term deposits, available exclusively in GOmobile app and GOonline internet banking. Customers could take advantage of the entire family of GOonline online deposits and Lokaty Mobilnej, which is a particularly popular deposit.

In 2020, for customers expecting profits higher than interest on term deposits, the Bank offered a wide range of investment products, including: over 500 investment funds of 24 domestic and foreign investment fund management companies; 5 investment portfolios – strategies based on FIO BNP Paribas subfunds, structured certificates issued by BNP Paribas Issuance B.V located in the Netherlands; the Individual Retirement Account (in the version of a savings account or in the form of a pension fund) and the Individual Retirement Protection Account in the form of an investment fund as well as stock exchange products available within the brokerage account. During the COVID-19 pandemic, the Bank introduced numerous process improvements, including the ability to process investment fund orders over the phone and the possibility of remote conclusion of the Structured Deposit Term Agreement.

Furthermore, in 2020 the Bank:

  • implemented a new strategy for a segment of Premium customers, including a dedicated offer of products such as Moje Konto Premium, Platynowa Karta Kredytowa and Insurance Sickness Support Plan – Premium. In addition, the Bank, together with the Fundacja na rzecz Standardów Doradztwa Finansowego foundation conducted the external EFPA EIP (European Investment Practices) certification of Premium customer advisors;
  • Continues the cooperation of the Investment Product Experts in video calls with customers who want to benefit from the investment offer in branches. With the cooperation of the Expert, 200 million PLN of investments were sold in 2020;
  • Implemented a new account product for children under 13 and youths between 13 and 18 years old – Konto dla Samodzielniaka, complemented by three debit cards with the Mastercard logo: Karta do Dorosłości Card for young people, the Samodzielniak Card dedicated to children between 7 and 13 years of age and the unique Samodzielniak Minicard together with a smartband to enable contactless transactions;
  • Expanded its mobile payment offering to Garmin Pay and Fitbit Pay. Thereby, the Bank already offers five different mobile payment instruments. In addition to the recently implemented – these are also Apple Pay and Google Pay and BLIK payments;
  • Started the sale of Starter Bank, a unique solution for customers visiting selected Shell fuel stations. They can choose the preferential offer of the Open Account for You which gives a chance to get 10% refund for shopping at Shell petrol stations. When choosing BNP Paribas Bank Starter, customers receive an instruction on how to open an account and a non-personalized payment card that they can use after opening the account, without waiting for the delivery;
  • expanded its offering for Residential Housing Communities with the investment loan secured with EBI guarantee which allowed to increase the amount of granted financing to PLN 2.6 million;
  • continued the implementation of the „Bank at Work” partnership program for e.g. corporate entities having relations with BNP Paribas Bank Polska, enterprises covered by PPK BNP Paribas TFI, local government units, housing communities and cooperatives;
  • organized numerous campaigns aimed at increasing sales of personal accounts, among others „Kieszonkowe 2020” for the youngest customers (13-18 years old), „Startuj z kontem”, „Konto z dodatkiem”, „Zakupy z BNP Paribas”, „Konto z domu”;
  • in cooperation with Arval Service Lease Polska Sp. z o.o. (a company belonging to the BNP Paribas Group) offered long-term vehicle rental for retail and customers, in 2020, focusing on reorganising the rules of selling this offer. The process was fully digitalized – a dedicated Bank website was implemented and the possibility to apply for a lease through remote channels, using the Virtual Branch;
  • cooperated with Employment Agencies and financial intermediaries in the acquisition of retail products (personal account, cash loans, mortgages and micro loans).

The retail customer loan offer in 2020 included mortgage loans in PLN, personal account loans (renewable loans), consumer finance products (described in more detail in Chapter Personal Finance of this Report).

In 2020, the Bank noted record results in the sale of mortgage loans. The volume of concluded contracts amounted to almost PLN 5.6 billion vs. 4.3 billion in 2019). This resulted in an increase in market shares to 10% in 2020. The result was the consequence of systematic automation and improvement of the process.

In response to the COVID-19 pandemic, in March 2020 the Bank introduced credit moratoria, which customers could apply for free of charge, without leaving home using an electronic form, and the „signing” of the annex to the contract was completed remotely on the basis of a registered telephone call and an e-mail confirmation.

Private Banking - BNP Paribas Wealth Management

Services provided within Wealth Management are dedicated to customers with assets exceeding PLN 1 million and a dedicated segment of customers with assets exceeding PLN 10 million – „Family Fortunes”. BNP Paribas Wealth Management offers an individual approach to each customer and additionally a holistic and relational approach that includes immediate family members or assets held in private companies and other investment vehicles, the so-called „family approach”.

BNP Paribas Wealth Management benefits from over 40 years of experience in servicing wealthy customers, market position and best practices of the BNP Paribas Group, which is number 1 in the field of Wealth Management in the Euro Zone. The group’s know-how, its stable financial position and many years of experience in developed markets are the best recommendation. This approach makes it easier to precisely manage the local area and create solutions perfectly tailored to the needs of our clients who, in addition to ongoing services, receive comprehensive support in the creation, protection and transfer of private and corporate assets. The offering of BNP Paribas Group is distinguished by a unified approach to customer relations with the bank under the „One Face To Customer” philosophy, dedicated to entrepreneurs looking for a reliable bank for private and corporate services.

As part of the established model of cooperation with the most demanding Clients of the Wealth Management segment, we consistently provide professional service through a dedicated Advisor holding an international EFPA certificate and substantive support of specialized experts in the form of direct contact with stockbrokers, currency dealers and a dedicated credit team, as well as wealth planning experts.

The offer for Wealth Management clients is also being constantly developed, while ensuring access to a wide, comprehensive and individually tailored range of everyday banking solutions – with a special emphasis on the unique and prestigious credit card Mastercard World Elite – as well as investment solutions, brokerage services, investment advice, asset management services, access to foreign exchange dealers, or customized lending solutions and support for succession and family wealth planning.

The offer and the approach to cooperation with Customers in the scope of investment solutions are distinguished by access to market analyses and investment reports delivered by international specialists within the BNP Paribas Wealth Management Group, thus the Bank using the global experience of the Wealth Management Group is able to offer Customers the highest quality product solutions.

In 2020, to meet new global challenges, BNP Paribas Wealth Management launched the „myImpact” project aiming to implement an innovative approach to our Clients’ investments. We want to raise awareness of responsible and sustainable investments, taking into account ESG (Environmental – Social, – Governance) criteria, or investments supporting the achievement of Sustainable Development Goals by the UN agenda. Through the „myImpact” questionnaire, BNP Paribas WM customers have the opportunity to specify their values and priorities in order to consciously make a positive impact on the environment and social surroundings through their investment and financial decisions.

A major challenge in 2020 was to adjust the realities of daily cooperation with Customers to non-standard conditions caused by the COVID-19 pandemic. Caring for the safety of Customers and employees, a number of process solutions were implemented to enable effective cooperation with Customers using remote contact channels. The implementation of the electronic Autenti platform, enabling Wealth Management clients to sign selected banking documents remotely, was treated as a priority. This solution was positively evaluated by clients. We also developed the possibility of placing orders for various types of instructions over the phone. Additionally, Wealth Management Clients have been provided with a new Click2Call functionality – using the GOmobile application, a WM Client has the possibility to call a dedicated Private Line call center directly. It should be noted that a number of meetings with customers were held thanks to the introduction of electronic communication platforms.

BNP Paribas Wealth Management takes care of Customers’ finances both as regards individualand business areas. Wealth Management customers – entrepreneurs – receive expert support in aspects of government support programs. A Competence Centre for the Financial Shield has been established exclusively for Wealth Management Clients. Clients can benefit from free consultations provided by a Wealth Management expert in the area of the PFR Financial Shield and other support instruments, e.g. from the Industrial Development Agency or BGK.

In February 2020 BNP Paribas Wealth Management received the highest 5-star rating in the prestigious Forbes magazine private banking ranking. The Forbes 5 stars were awarded mainly for the open product architecture and the quality of services provided. Customers appreciated in particular the professional and individual approach to asset management and successive development of original solutions not only in the investment area, but also, for example, in the area of succession or legal and tax planning. BNP Paribas Wealth Management was also appreciated for the access to global markets and international investment offer.

In November 2020 BNP Paribas Wealth Management was awarded two more prestigious prizes – the international title of „Best Private Bank in Poland” and the Forbes award as „Most Innovative Private Banking” on the Polish market.

The „Best Private Bank in Poland” award in the prestigious Global Private Banking Awards 2020 ranking is granted by the British magazine The Banker and Professional Wealth Management (PWM), which belongs to the Financial Times group. The way private banking services are provided is one of the key factors considered by the jury in the evaluation process. Such indicators as portfolio management, wealth management, asset allocation, business development strategy, customer service, business model or innovation level were analyzed. According to the international jury, BNP Paribas Wealth Management services clearly stood out on the Polish market as compared to other banks. The international jury selected the winners of the ranking on the basis of applications sent by institutions, market analyses, opinions of independent analysts and senior managers, and most importantly customers using private banking services. The Global Private Banking ranking is one of the most comprehensive studies in the field of private banking as it takes into account all aspects of the offer for Private Banking clients. It has been organized since 2009 in 36 categories, recognizing the best representatives from individual countries where private banking services are highly developed and subject to high competition. The results of the Global Private Banking Awards 2020 ranking were announced at the online Gala on November 5, 2020 in London.

BNP Paribas Wealth Management owes its success, which resulted in receiving the Forbes „Most Innovative Private Banking” award on the Polish market, mainly to an active development of remote channels and solutions such as: implementation of remote exchange of documents signed electronically together with Autenti, introduction of a number of new functionalities in GOonline Internet banking and in the GOmobile application, enabling customers to quickly and conveniently perform the most important operations, which was particularly important and appreciated in the time of the pandemic.

Business customer offer

With respect to the offers addressed to business customers, the Bank provides products that enable a complementary service as regards both financing business operations and transactional banking and depositing funds.

The core offer for business customers within transactional banking consists of three product packages:

intended for customers with simplified financial reporting, as well as full financial reporting, if their net sales revenue for the previous financial year did not exceed PLN 4 million;

offer addressed to non-profit organizations, e.g. foundations, home owners’ associations, property managers and housing cooperatives;

offer addressed to individual farmers.

Depending on the offer, new accounts charge fees in a dynamic way, depending on the amount of inflows to the client’s accounts and the average balance maintained on the current account. These products have differentiated charging for deposits, withdrawals and electronic transfers, and the level of commission charged will depend on the number of transactions and the threshold of the amount of inflows to the client’s accounts.

In the first half of 2020, the deposit offer for business customers included both savings accounts – Subsidiary Deposit in PLN and foreign currencies, as well as term deposits, offered in many investment periods and sales channels, including the highly popular Overnight Deposits.

In May 2020, the Bank joined the „OLX 500 starter” – action supporting entrepreneurs launched in April. This was another Bank’s initiative to support companies throughout the Covid-19 pandemic. With the support, the companies will receive 1000 PLN to spend on advertisement on OLX – the largest advertising platform in the country. As a strategic partner of the project, the Bank will finance entrepreneurs on with an additional PLN 500. The Bank has funded 1000 of such packages. As part of the ad package, it is possible to have a website in the domain, sell and offer without commission, as well as receive support from the OLX team, advising on efficient and effective registration process and providing support in choosing the best way to add an advertisement.

In July 2020, an agreement was signed with Monetia, providing individual and business customers holding accounts at the Bank with the opportunity to deposit cash at 120 new branches, located in cities where this service had not been offered before.

The loans offered in the business segment to finance daily operations and investment needs are addressed to micro-enterprises, small enterprises (subject to simplified financial reporting requirements), as well as individual farmers and home owners’ associations.

The key loan products offered by the Bank are: overdraft facilities (secured and unsecured), revolving/non-revolving working capital loans, cash loans (fixed term), investment loans and consolidation loans. Additionally, business clients (micro-enterprises and individual farmers) were able to use EU loans, subsidised loans, guarantees and currency risk management products.

The Bank also offers products that minimize the risk of agricultural activity: seasonal insurance of agricultural crops. Through a crop insurance contract, the farmer gains insurance protection and financial security. Insurance of at least 50% of arable land is also a condition for obtaining a low-interest disaster loan and full financial assistance in the event of a natural disaster.

In the first quarter of 2020 The Bank introduced the European Investment Bank’s PF4EE program for housing communities. Under the Agreement concluded between the Bank and the European Investment Bank, we received support from the EIB in the form of a portfolio guarantee in the amount of 80% for an investment involving thermomodernisation of buildings leading to an increase in their energy efficiency. The guarantee allowed to increase the maximum amount of financing to PLN 2.6 million and to extend the maximum financing period to 240 months.

Within the financing, a wide offer of with a thermo-modernization premium from Bank Gospodarstwa Krajowego as well as financing of 90% of the costs incurred to prepare the technical documentation allowing for the execution of the thermo-modernization investment are available to customers; the financing is provided as part of the ELENA project based on the European Union Framework Program – Horizon 2020.

Following the conclusion by the Bank of an agreement with the Consortium of the Foundation for Energy Efficiency, the Bank’s customers, i.e. Housing Associations, were given an opportunity to prepare, through the Bank, technical documentation in the form of energy audits and construction designs. On the basis of audits and building designs, Customers have the opportunity to implement thermomodernization investments resulting in building energy savings. The bank’s new offer also includes substantive support for investments and preparation of documentation related to the application for BGK’s premium. The offer for the preparation of an audit and / or construction project for the client distinguishes the bank from the competition and makes the current proposal addressed to Housing Associations much more attractive.

In the second quarter of 2020 the Bank extended the offer for micro-entrepreneurs by a non-renewable FTL loan with BGK de minimis guarantee up to 80% of the loan amount, at the same time introducing a special price offer for all loans covered by de minimis guarantees. The offer for individual farmers was also extended to include a loan gu

In 2020, the offer of long-term car rental models for micro-enterprises in cooperation with Arval Service Lease Polska Sp. z o.o. (an entity of the BNP Paribas Group) was extended more than twice. The sales activities within the CRM campaign based on the existing customers of the Bank were also intensified, which improved the sales results, despite a significant reduction in interest in the offer during the COVID-19 epidemicaranteed of the Agricultural Guarantee Fund, covering up to 80% of the loan amount.

In the view of the emerging restrictions related to COVID-19, in order to maintain continuity of the credit process in the segment of micro-enterprises and individual customers, the Bank implemented a simplified procedure for completing documents in the credit process.

In addition, in the process of applying for a mortgage loan, the Bank initiated a new process that includes direct contact of the credit decision maker with the customer; in the process, it is possible to obtain customer’s statements via a registered telephone connection. According to NPS surveys the process was positively assessed by customers.

During periods of economic freezes associated with COVID-19 restrictions, the Bank maintained stable lending by selectively evaluating transactions while taking into account the credit risk present.

In the first half of 2020 the bank conducted „Biznes Ofensywa” and „Agro Ofensywa” marketing campaigns and in the second half of 2020 a marketing campaign that promoted a special offer of loans with a de minimis guarantee from Bank Gospodarstwa Krajowego with no loan granting commission. The credit proposal was targeted at entrepreneurs and aimed at improving access to financing and offsetting the negative effects of the COVID-19 pandemic.

Bank guarantees

In 2020, the Bank issued 21 bank guarantees at the request of business customers for a total value of PLN 2.7 million.

Commercial volumes

As at 31 December 2020, Retail and Business Banking deposits on a consolidated level amounted to PLN 54,410,430 thousand and were by PLN 4,159,509 thousand, i.e. 8% higher than at the end of 2019. Current accounts increased by PLN 7,742,217 thousand, and volumes in savings accounts by PLN 4,047,663 thousand. The decrease was recorded in terms deposits (by PLN 7,708,543 thousand). The percentage share of each of the three basic product categories has changed: share of current accounts and savings accounts in to 49% and by 5 p.p. to 37%, respectively) while term deposits decreased (by 16 p.p. to 13%).

Deposits and Loans in Retail and Business Banking*

in PLN’000 31.12.2020 31.12.2019 change y/y
PLN’000 %
Current accounts 26,585,909 18,843,692 7,742,217 41%
Savings accounts 19,999,727 15,952,064 4,047,663 25%
Term deposits 7,262,965 14,971,508 (7,708,543) (51%)
Overnight deposits 561,829 483,658 78,172 16%
Accounts and Deposits 54,410,430 50,250,921 4,159,509 8%
Consumer loans 9,201,574 9,115,130 86,444 1%
Investment loans 6,536,849 6,577,174 (40,325) (1%)
Overdrafts 2,761,187 3,422,192 (661,005) (19%)
Mortgage loans 22,397,224 18,455,414 3,941,810 21%
Lease receivables 1,880,074 1,307,745 572,329 44%
Lease receivables 1,163,198 1,316,580 (153,382) (12%)
Other loans 5,193 19,489 (14,296) (73%)
Net loans and advances 43,945,299 40,213,725 3,731,574 9%
The value of deposits and loans in selected segments is based on data from the management information systems as they provide more detailed product information. For the sake of comparability, the data as at 31 December 2019 were presented in accordance with the segmentation for 2020.
The value of deposits excludes balances of some credit institutions which are considered interbank deposits in management reporting, whereas in financial reporting they are recognized as customer deposits. In addition, the balances exclude accrued interest before maturity.


As at 31 December 2020 the value of the loan portfolio in the Retail and Business Banking segment on a consolidated level amounted to PLN 43,945,299 thousand, which means an increase by 9% (PLN +3,731,574 thousand) compared to the end of 2019. In terms of value, the largest increase was recorded in housing loans (+ 21%, PLN +3,941,810 thousand).

In the analysed period, the volume of FX mortgage loans (withdrawn from the offer in 2008-2009) amounted to PLN 4,872,443 thousand (at the end of 2019 it was PLN 4,891,760 thousand), including loans in CHF which constituted almost 99% of this portfolio. The change in the value of the portfolio was affected by the weakening of the PLN against CHF (the exchange rate increased from 3.9213 at the end of 2019 to 4.2641 at the end of December 2020). The value of the portfolio in CHF decreased by 8.4% compared to the end of 2019.

Gross profit of Retail and Business Banking segment

In 2020, the Retail and Business Banking segment recorded a negative gross result of PLN 313,616 thousand (compared to PLN 22,118 thousand profit in 2019) mainly due to significant increase in the cost of risk resulting, among others, from the negative influence of COVID-19 on the economic situation and an increase in risk provisions for proceedings concerning housing loans in CHF (an increase by PLN 136,043 thousand y/y) and an increase in the cost of the BGF resulting from an increase in the base used for calculation and changes in the level of contributions made by the BGF Council compared to 2019.

The income on Retail and Business Banking activity in 2020 amounted to PLN 2,240,675 thousand and was 1% lower than in 2019. This result represented 47.6% of the Group’s result on banking activities in the period under review. Personal Finance generated 32.0% of the result on banking activity of the Retail and Business Banking segment.

Gross profit of Retail and Business Banking segment*

in PLN ‘000 12 months ended 31.12.2020 12 months ended 31.12.2019 change y/y
in PLN ‘000 %
Interest income 1,714,399 1,812,522 (98,122) (5%)
Fee and commission income 468,236 418,889 49,347 12%
Trading and other income 58,040 26,387 31,653 120%
Income on banking activity 2,240,675 2,257,797 (17,122) (1%)
Net impairment losses (512,572) (321,477) (191,095) 59%
Provisions for legal risk of CHF portfolio (168,156) (32,113) (136,043) 424%
Operating expenses and amortisation and depreciation (1,223,999) (1,211,818) (12,181) 1%
Expense allocation (483,811) (573,069) 89,258 (16%)
Operating result (147,862) 119,320 (267,182) (224%)
Tax on financial institution (165,753) (141,437) (24,316) 17%
Gross profit of the segment (313,616) (22,118) (291,498) 1,318%
Information based on the segmentation note included in the Consolidated report of BNP Paribas Bank Polska S.A. Capital Group for the period ended 31 December 2020.

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