As per the study, Poland generated almost €860 million of said €2.2 billion combined worth of Europe’s financial technology business. Nowadays, Warsaw not only serves as the location of over 45% of the nation’s entrepreneurs, it an addition to regarded as a regional financial technology hotspot.

Poland’s fintech sector is clearly thriving in the financial institutions, transactions, as well as health coverage sectors since it is the main customer in Middle & Eastern Europe. Each nation’s fintech industry growth is impacted by a number of variables. Such aspects include the development of smartphone technologies and the accessibility of facilities for contactless payouts in Poland. Let us just examine how well these variables are specifically influencing the growth of both the Polish financial and billing industries.

Finance Throughout Poland

The financial system may benefit from fintech’s offerings by developing the current goods, marketing strategies, software, and money transfers. In light of this, let’s concentrate on some numbers. Poland is now placed 2nd in the area for the number of financial institutions and boasts the sixth-largest financial community in all European states. Roughly half of the nation’s financial industry holdings were held by only 5 financial institutions, and at the conclusion year, the amount of all financial industry holdings had surpassed PLN 2 trillion.

A new pattern in both the usage of cellular handsets as well as the majority of digital banking customers was also seen. In accordance with the conclusions of an ING International Survey, Polish areas achieved the third position for online finance adoption, around 60% of all smartphone owners have used digital financial services. This suggests that disruptive technology, and internet payments in specific, possess significant potential development in the near future. Nevertheless, this disparity exists unfilled since 38% of well-established Polish financial firms currently do not provide any goods and activities via digital applications, including mobile browsers, applications, or applications.

Major Difficulties

The soundness of the local finance industry is being severely hampered by two primary problems, according to analysts at the EFC:

• Financial sector nationalization: According to the General Government’s budget disproportionate involvement in the financial system as a consequence of this procedure, it is possible that money will be distributed incompetently as a consequence of choices determined according to political considerations.
• Overly onerous requirements: However one requirement is indeed the Polish finance taxation, which EFC specialists claim violates the EU’s competitiveness laws because it is not imposed uniformly but rather is assessed on the holdings of specific categories of economic organizations in the nation.

Poland’s Financial Industry

According to a study of this Polish financial technology market performed by Flanders Investment and Trade, money transfers would continue to drop in the coming years. The industry of money transfers has been reported to be shrinking as a result of the widespread use of card transactions, which increased from 34% around 2011 to 80% in 2017. Further research on this financial industry in Poland done in 2022 supports these results, estimating that at the conclusion of 2019, around 40,000,000 Polish owned digital cards, including 79% of these people frequently utilizing bank cards for making purchases. These figures indicate that payment systems are becoming more prevalent than traditional ones.

Removing The Obstacles

Numerous businesses in the financial technology sector have to contend with challenging legislative and administrative obstacles. In an effort to surpass such obstacles, the KNF introduced the Innovative Hubs Project in 2018, which keeps supporting the financial technology industry by facilitating communication between organizations like banking institutions as well as new ventures. Problems with payment processing, digital currencies, digital currency marketplaces like btcloopholepro.com or Coinbase, and even fundraising were some of the subjects that have been discussed and handled using all of these transmission mediums.