Non-banking sector

The COVID-19 pandemic also influenced developments on the Polish non-banking markets in 2020: the investment funds, open pension funds, insurance, leasing and factoring markets.
PKO Annual
Report Online

In 2020, the total assets managed by the Investment Funds Management Companies increased to PLN 280.8 billion (+4.3% y/y), including the assets of individuals that  increased to PLN 167.9 billion (+3.6% y/y). At the end of 2020, the value of deposit in the PPK Defined Maturity Date Funds was PLN 2.3 billion. The balance of payments and redemptions stood just above zero at the end of 2020 and amounted to PLN 0.4 billion, where the net value of individual contributions was PLN 0.3 billion. The balance of payments and redemptions in 2020 was strongly influenced by the crunch on the labour market, which occurred in March, when investors withdrew over PLN 20.5 billion in net amount, and by an increased demand for investment products in subsequent months.


The average annual rates of return had a positive impact on investor interest. In the most popular safe debt funds segment they were at a level many times exceeding the interest on new term deposits in the banking sector, which decreased after the decisions of the MPC to reduce interest rates in the period from March to May 2020.

In 2020, the assets of the Open Pension Funds (OFE) decreased by 4.0% (PLN -6.2 billion) to PLN 148.6 billion. The number of OFE participants dropped (by -240 thousand, to 15.4 million). The OFE market was affected by deteriorating conditions on the labour market and on the Warsaw Stock Exchange (whereby WIG index dropped by 1.4% in 2020), as a result of the crisis caused by the COVID-19 pandemic. Shares continued to dominate in the structure of OFE assets (approx. 86%).

In 2020, insurers earned a net profit of PLN 6.1 billion (-15.7% y/y) with technical profit 1.5% lower y/y (down to PLN 6.1 billion). The decrease in the amount of revaluation of term deposits (an extraordinary event related to the revaluation of interest in subordinated entities) had a negative impact on the results of insurers, while the decrease in the costs of claims and benefits paid (-2% y/y to PLN 37.9 billion), accompanied by a drop in gross written premium of 1% y/y (to PLN 63.4 billion y/y), had a positive impact.

In life insurance segment, the gross written premium dropped by -2.4% y/y (to PLN 20.7 billion). Premiums in the group of insurance related to the Insurance Capital Funds (UFK) dropped to a level not balanced by increases in premiums in the group of sickness and accident insurance, as well as in the group of life insurance. The drop in claims paid in life insurance segment was 5.8% y/y (PLN 17.3 billion), which was due to the pandemic conditions in Poland (among others a smaller number of claims reported as a result of fewer planned hospitalizations and surgeries). Costs of insurance activities in the life insurance segment were stable y/y (PLN 5.0 billion).

The segment of other personal and property insurance noted a small y/y increase in the gross written premium of +0.3% (to PLN 42.7 billion), with a small increase in the cost of claims paid of 1.3% y/y (to PLN 20.7 billion). Costs of insurance activities in the other personal and property insurance segment increased by +4.1% (to PLN 10.4 billion).

The lease industry financed assets of PLN 70.1 billion in 2020, compared with PLN 78.0 billion in 2019, which marked a drop of 10.1% y/y. The decrease materialized in most of the key market segments and were largely the result of the conditions of epidemic in Poland. The heavy vehicle lease segment (i.e. covering trucks over 3.5 tonnes, tractors, semitrailers/trailers, buses, ships, airplanes, trains and other) noted the largest drop. The value of assets financed in this segment amounted to PLN 13.9 billion (-25.7% y/y), which was approx. 20% of total financing granted by lease companies.


Entrepreneurs most often leased light vehicles (passenger cars and trucks up to 3.5 tonnes). The value of assets financed in this segment amounted to PLN 33.3 billion (-5.7% y/y), which was approx. 47% of total financing granted by lease companies. In the plant and machinery segment, the value of leased assets was PLN 20.4 billion (-5.0% y/y). Only the property segment noted an increase of +4.1% y/y, but its share in the market structure was marginal (1.2%).

W 2020 roku utrzymywał się wysoki popyt na usługi faktoringowe. Obroty firm zrzeszonych w Polskim Związku Faktorów wzrosły o 3,0%, osiągając poziom 290,1 mld PLN, natomiast liczba podmiotów gospodarczych korzystających z usług firm faktoringowych wynosiła 18,4 tys. (+2,6% r/r). Największym popytem ze strony przedsiębiorców nadal cieszył się faktoring pełny, którego udział w obrotach firm faktoringowych wyniósł około 49%. Udział drugiego największego segmentu rynku, tj. faktoringu niepełnego wyniósł 30%. Z usług faktoringowych nadal najczęściej korzystały przedsiębiorstwa produkcyjne i dystrybucyjne, głównie z branży spożywczej, chemicznej i metalowej.

A high demand for factoring services prevailed in 2020. Sales of companies in the Polish Factors Association increased by 3.0% to PLN 290.1 billion, and the number of business entities using factoring companies was 18.4 thousand (+2.6% y/y). The largest demand on the part of enterprises was factoring without recourse, whose share in total sales of factoring firms was approx. 49%. The share of the second-largest market segment, i.e. the recourse factoring was 30%. Factoring services continued to be most often used by manufacturing and distribution companies, mainly in the the food, chemical and metal industries.

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