The state-run Industrial Bank of Korea (IBK) said Friday it has signed a business tie-up agreement with a Polish bank to support South Korean firms operating in Poland and gain a foothold in the European country.
The comprehensive deal with PKO Bank Polski SA calls for providing financing for small and midsize Korean firms operating there and cooperating in such business areas as foreign exchange, international finance and investment banking.
The two banks will also provide each other with support for the establishment of representative offices or branches in each country, said the IBK, which caters largely to small and medium-sized enterprises.
“IBK is pushing to open a representative office in Poland, where about 400 South Korean companies engaging mainly in the auto and electronics sectors operate,” an IBK official said. “Large South Korean companies are also actively investing in plants for electric car batteries.”
Controlled by the Polish government, PKO Bank is the largest lender in Poland by assets and market share with a nationwide network of nearly 1,200 branches, according to IBK.