The Polish Parliament has recently adopted a new law implementing certain changes to the Polish financial system (“the Act”).[1] The aim is to strengthen supervision over capital markets and improve protection of investors, but it will significantly impact the timing and cost of raising capital through debt securities offered outside the public market.

The new law amends the Banking Law to implement the provisions of the Bank Recovery and Resolution Directive.[2] Currently, this is a very controversial issue, given the recent resignation of the Chair of the Polish Financial Supervision Authority and the fact that the new law allows the takeover of a bank with equity below certain thresholds or with a risk of such equity falling below certain thresholds. However, this post, in fact, deals with other issues raised by the new law.