Poland will increase the regulatory deposit insurance minimum to EUR 100,000 as of January 1, 2011, according to draft legislation on banking regulation published by the Ministry of Finance on its web-site.

Under the same legislation Poland will reduce deposit insurance payout terms to 20 working days and force the banking regulator KNF to step in more quickly as banks falter.

The bill constitutes a follow-up amendment to EU directive 2009/14/WE on bank deposit guarantee schemes. Poland made initial changes in its guarantee system in October 2008 along with other EU nations at the height of the banking crisis.