Millennium BCP invests in overseas expansion to keep decision autonomy
04-03-2005, Jornal de Negócioso


Overseas expansion is the best path for Portuguese companies to maintain strategic autonomy, defended Jardim Gonçalves, Chairman of Millennium bcp, adding that Poland will be the market to invest in for the bank's mid-term development.
"Our market in Portugal is small and offers little possibilities for growth. Poland is an interesting market, taking into account the conditions this country will have," said Jardim Gonçalves at the conference held in Cascais about the commercial relations between Poland and Portugal.
The Chairman of Millennium bcp said that the growth of the Polish economy, which has been larger than the ones of the remaining European Union countries, offers possibilities for investment, not only for the bank but also for other Portuguese investors. "We have to be aware that our future domestic market lies in Europe," said Jardim Gonçalves, advising other investors to "pay attention to the cultural differences between Poland and Portugal" and to "have a local look" before they initiate operations in the Polish market.
Jardim Gonçalves emphasized that overseas expansion "is the best way to maintain national decision centres and the strategic autonomy," reiterating the investment in Poland.
He said, "There is a whole lot to do in Poland, because the country itself still needs to grow a lot. We will try to follow this growth and strengthen our areas of intervention."
Jardim Gonçalves also said that Millennium bcp's international operations represented around 16% of the group's consolidated assets in 2004 and added that these activities "positively contribute to the group's results."
Another market where Millennium bcp acts in is Greece, "a market slightly bigger than ours," according to Jardim Gonçalves, who prefers to focus efforts on Poland. "It is a market that appreciates the way we are, the way we act and where we want to grow."
In the advice he gave to Portuguese entrepreneurs, the leader of BCP highlighted the importance of identifying the best way to enter into the Polish market. He concludes "Sometimes, a majority position might seem more comfortable, but there are certain economic activities where the models of association deserve special attention. The success of benefiting from Poland's opportunities depends on the adaptation to the market. "