FROB

The Uncertain Future Of Spain’s Bailed Out Savings Banks

The savings banks which were bailed out by the FROB continue to present problems for that institution and the government. The idea was that after they were restructured and their value had increased, they would find a buyer or incorporate a partner with a controlling stake or seek a stock market listing. So then they would give back at least a good part of the state aid received from the FROB. But these plans are turning out to be difficult to implement.



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Spain regains €136 million with first steps of Bankia’s privatisation

MADRID | The Corner Team | Bankia’ listing in Madrid Stock Exchange was cancelled up to 10 A.M on Friday. One hour later it was known that Spain sold 7.5% of the entity’s capital announced on Thursday at a value of 1.51 euros per share, which amounts a total of €1.3bn and also a discount of 4.4% against yesterday’s closing prices. Furthermore, the sale allows Spain to earn €136 million. With figures aligning with analysts’ estimations, the start of Bankia’s privatisation proves external confidence in Spanish financial sector recovery. 


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Public cost of the Spanish financial crisis amounts to 5.9% of GDP

MADRID | By Carlos Díaz Güell | According to the Bank of Spain, the public aid for the recapitalisation of the Spanish financial system between 2009 and 2013 amounts to €61.366 billion (£51.739bn), 5.9% of the GDP. This is below the average cost of other banking crisis since 1970. In the late 1970s and early 1980s the public cost of the financial crisis was of 3.9% of the GDP.






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Your picture of cajas is not: message to The Daily Telegraph

LONDON | We know what The Daily Telegraph did last weekend. On Saturday 22, its daintly designed Business pages brought a report that fitted in two short columns some risk agency quotations and Spanish politicians’ chit-chat about ongoing disagreements as far as the future of the cajas is concerned. “Spain to merge cajas in attempt to calm fears” the headline read, and rightly so. Yet, apparently, this piece of news had had to be tamed on its way into the paper.