WARSAW Oct 8 Poland's financial regulator KNF
may allow some of the best capitalised banks to hand back their
entire 2013 profits to their shareholders after capping dividend
payouts since 2009.
Hoping to prevent significant capital outflow that could
weaken banks in times of an economic slowdown, KNF had prevented
banks from paying more than three-quarters of their profits as
A KNF spokesman said it was considering keeping the limit
for most lenders next year, but could consider allowing
100-percent payouts for banks with the best capital positions.
KNF's strict rules, which also kept a lid on excessive
borrowing, have been credited with helping Polish lenders avoid
the pitfalls that dragged down other European lenders since the
global economic crisis in 2008.
Analysts said the two banks that are the most likely to pay
higher dividends are UniCredit's Pekao and
Citigroup's Bank Handlowy.