TY - JOUR N2 - This paper describes an analysis of the effects of both foreign exchange (FX) risk and interest rate risk on installments of the housing FX loan using classic comparative statics approach. By focusing on sensitivity of annuity with respect to infinitesimal changes of parameters it presents the impact of the interest rate and FX rate on installments in terms of their shares of the total outstanding in foreign currency, and illustrates using values, in Polish zlotys, for three example loans extended during the period when Poland saw its most intensive FX lending. This analysis represents an attempt to answer a question frequently raised in this country of late: does the issue of debt servicing housing FX loans matter for borrowers and therefore could affect banks’ loan portfolio quality? L1 - http://www.czasopisma.pan.pl/Content/103700/PDF-MASTER/mainFile.pdf L2 - http://www.czasopisma.pan.pl/Content/103700 PY - 2016 IS - No 1 EP - 59 DO - 10.24425/cejeme.2016.119186 KW - credit risk KW - housing FX loans KW - FX lending KW - debt service A1 - Wośko, Zuzanna PB - Oddział PAN w Łodzi DA - 31.03.2016 T1 - Credit Risk of FX Loans in Poland. Debt Service Burden and the Effect of Neutralization of Currency Depreciation by Foreign Interest Rates SP - 43 UR - http://www.czasopisma.pan.pl/dlibra/publication/edition/103700 T2 - Central European Journal of Economic Modelling and Econometrics ER -