Abstract:

The study aimed to assess the degree of the development of the Polish banking system and to analyze its funding sources as related to the lending activity. The analyses revealed that the Polish banking system still retains the classical model of financial intermediation, i.e. lending activity is financed entirely by non-financial sector deposits. Sources of financing are mainly composed of deposits from the non-financial sector. At the same time, such a structure causes a deep term mismatch between the lending activity and funding sources (long-term foreign sources account for 5% of total liabilities). The new supervisory requirements introduced mainly in terms of liquidity standards (NSFR) and resolution (MREL) may, therefore, pose a significant challenge to the Polish banking sector.