Report No. 30/2021

Legal basis:

Article 17.1 MAR Regulation

The report:

PKO Bank Polski S.A. (“Bank”) hereby informs that the Bank was subject to the 2021 EU-wide stress test conducted by the European Banking Authority (“EBA”) in cooperation with the Polish Financial Supervision Authority, the European Central Bank (“ECB”), and the European Systemic Risk Board (“ESRB”).

The EBA announced today the 2021 EU-wide stress test results.

https://www.eba.europa.eu/assets/st21/bank_individual_results/EBA_ST_PL_P4GTT6GF1W40CVIMFR43.pdf

The 2021 EU-wide stress test does not contain a pass fail threshold and instead is designed to be used as an important source of information for the purposes of the supervisory review and evaluation process (SREP). The results will assist competent authorities in assessing Bank's ability to meet applicable prudential requirements under stressed scenarios.

The adverse stress test scenario was set by the ECB/ESRB and covers a three-year time horizon 2021-2023. The stress test has been carried out applying a static balance sheet assumption as at December 2020, and therefore does not take into account future business strategies and management actions. It is not a forecast of Bank’s profits.

According to the 2021 EU-wide stress test results, the consolidated Common Equity Tier 1 (CET1) ratio of the Bank would be in 2023 at the level of 18.05% under the baseline scenario and at 15.37% under the adverse scenario, while the consolidated CET1 ratio as of 2020 was 16.99%. Restated consolidated CET1 ratio of the Bank reflecting the full IFRS9 effect would be in 2023 at the level of 17.98% and 15.19% respectively, while for 2020 at the level of 16.39%.