WARSAW: A key sitting of Poland's Supreme Court concerning the issue of Swiss franc mortgages has been postponed from April 13 until May 11, the court said in a press release.

The court also said it was waiting for a ruling of the European Union Court of Justice on the issue, which is scheduled for April 29. The sitting was also being postponed due to safety concerns resulting from the COVID-19 pandemic, it said.

The sitting, which had originally been scheduled for March 25, had already been postponed once.

Thousands of Polish borrowers took out franc loans more than a decade ago to take advantage of low Swiss interest rates but then faced ballooning repayments when the zloty weakened sharply against the Swiss currency.

The sitting of the Polish Supreme Court was expected to clarify issues including what banks can claim from clients if a mortgage contract is cancelled.

In December the head of financial market regulator KNF suggested that banks convert foreign currency loans into zlotys, but banks have yet to agree on details of the plan and many are waiting for the Supreme Court sitting.