58. Collateral

In the period ended 31 December 2019, the Bank did not make any changes in its collateral policies.

The Group takes into account the collateral held for credit exposures when estimating the expected credit loss. With respect to individually significant impaired exposures, future collateral recoveries are estimated individually and taken into account in determining the expected loss, with a weight corresponding to the assessment of the probability of implementation of the debt recovery scenario. The value of collateral recoveries estimated under the recovery scenario for impaired exposures at the balance sheet date was PLN 2 418 million (as at 31 December 2018 PLN 2 601 million).

The Group does not have any exposures for which, due to the value of the collateral, it has not recognized an allowance for expected credit losses.