Polish construction companies are having a hard time obtaining credit due to banks' concerns over whether they will get their money bank.
Polish construction companies currently owe around z³.25 billion and it seems that an increasing number are nearing bankruptcy, Dziennik Gazeta Prawna reported.
Currently, though, problems are isolated and mainly concern smaller companies.
However, said Marek Jura¶, analyst at UniCredit CAIB, “This situation could change, if big firms find themselves in trouble. These companies finance their activities using many different banks.”
Banks are contemplating creating special reserves for credit given to the construction sector, although they acknowledge that this would harm their bottom lines.
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