Poland Delays Phase Out of €600 Billion Loan Benchmark to 2036

Poland has delayed the phase out of the Wibor interbank benchmark for existing loan agreements until end 2036 following criticism for the plan from commercial lenders wary of a switch to a new index.

The move, announced by index administrator GPW Benchmark and the Polish financial regulator on Monday, means banks won’t need to convert Wibor legacy loans to the new benchmark Polstr rate for a decade. The delay is set to reduce potential legal issues anticipated from a forced switch as a big chunk of Wibor-based loans will be paid back by then.