Ladies and Gentlemen,
Last
year
brought
a
significant
improvement
in
the
operating
conditions
of
the
Polish
banking
market.
It
was
a
year
of
return
to
stabilization
after
two
external
shocks
-
pandemic
and
energy
crisis
caused
by
the
aggression
of
the
Russian
Federation
in
Ukraine,
which
also
resulted
in
a
significant
increase
in
inflation.
During
2023,
the
disinflation
process
continued,
and
the
banking
sector
did
not
incur
any
extraordinary
operating
costs
that
had
a
strong
impact
on
the
results
of
previous
periods.
The
Bank
Pekao
Capital
Group
took
advantage
of
the
improved
market
situation,
increasing
the
scale
of
operations
and
reporting
record-breaking profitability.
2023
is
the
pre-last
year
of
two
strategies
of
the
Pekao
Group
until
2024
-
the
financial
and
ESG
strategy.
The
bank
achieved
a
significant
increase
in
the
scale
of
its
operations,
while
ensuring
that
it
was
focused
on
the
segments
that
were
most
resistant
to
changes
in
the
economic
cycle.
The
bank
increased
its
cost
efficiency
and
remained
a
leader
among
large
Polish
banks
in
terms
of
credit
and
legal
risk
management,
which
was
visible
in
its
approach
to
foreign
currency
mortgage
loans.
Referring
to
its
strategic
ambitions,
the
Bank
has
implemented
a
number
of
innovative
solutions
thanks
to
which
it
strengthened
its
position
as
one
of
the
leaders
in
the
digital
transformation
of
the
sector.
In
a
demanding
economic
environment,
Bank
Pekao
is
on
the
path
to
implementing
the
main
strategic
parameters.
The
bank
continued
work
on
improving
ESG
processes,
especially
in
the
area
of
measuring
the
carbon
footprint
of
the
loan
portfolio,
in
accordance
with
European
and
Polish
regulations.
It
maintained
high
activity
in
all
four
business
segments,
providing
significant
ESG
financing,
in
particular
through
arrangement
in
corporate
bond
issues.
Moreover,
the
issue
of
own
MREL
bonds
worth
EUR
500
million
in
the
green
format
with
the
use
of
the
Sustainable
Finance
Framework
was
successfully
completed.
The
bank
also
had
a
positive
impact
on
the
market
by
limiting
relations
with
entities involved in operations on the Russian market (Yale University list).
Further
tightening
of
cooperation
within
the
PZU
Group
allowed
for
the
realization
of
measurable
benefits
in
key
strategic
areas:
bancassurance
and
assurbanking.
At
the
same
time,
we
still
see
great
potential
in
the
development
of
the
product
offer
and
the
use
of
distribution
channels,
as
well
as
in
expanding
the
customer
base.
Bank
Pekao
is
the
main
bank
serving
the
PZU
Group
in
the
transaction
and
treasury
area.
It
also
took
over
the
role
of
the
main
custodian
of
PZU
TFI
(mutual
fund).
The
bank
records
a
constant
increase
in
the
number
of
operations
and
payments,
offering
innovative
transaction
services
(tpay,
multimerchant terminals, cash deposit cards for agents).
The
Supervisory
Board
of
Bank
Pekao
attaches
significant
importance
to
the
issues
of
sustainable
development
and
activities
of
Bank
Pekao
and
understands
the
positive
and
stabilizing
effect
that
the
Bank,
thanks
to
its
scale,
can
have
on
the
environment
and
all
broadly
defined
stakeholders.
Bank
Pekao's
ESG
activities
are
part
of
the
responsible
business
strategy
of
the
entire
PZU
Group,
which,
as
the
largest
financial
group
in
Poland
and
the
entire
Central
and
Eastern
European
region,
actively
supports
sustainable
development
projects.
As
the
Supervisory
Board,
we
will
support
Bank
Pekao
in
further
improving
its
competences
in
the
ESG
area
and
placing
even
greater
emphasis
on
the
sustainable
development
policy
in
the
new
version
of the ESG Strategy for the coming years, which will be prepared based on the EU Taxonomy.
To
sum
up,
on
behalf
of
mine
and
the
entire
Supervisory
Board,
we
are
convinced
that
Bank
Pekao
will
continue
to
consistently
strengthen its leading position in the banking industry. I am also sure that with all stakeholders in mind, the Bank will continue
to ensure a sustainable increase in the company's value.