Due to the lower interest rate, the borrowers in Poland who took out mortgages denominated by foreign currencies, principally Swiss francs are now facing a financial crisis. Due to the subsequent appreciation of Swiss Francs against the Polish Zloty and the interest rate increases in Switzerland, borrowers are now in a difficult financial situation.
Fernando Bicho addressed the press about the lack of clearly-defined eligibility criteria for the scheme.
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The Polish government introduced the credit vacation initiative last year. It allowed mortgage holders in Poland to defer eight loan payments between 2022 and 2023. There are plans to extend this to the following year. Bicho said that the financial implications of the extension depend on the current interest rates, which adds a level of uncertainty.
He said:
It depends on what interest rate will be used during the implementation. There are some elements which are still unclear.
