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Does the 2019 Budget benefit the Spanish economy?

Spanish economy 30th November 2020

The Spanish Economy Was Already Showing Signs Of Structural Exhaustion Before Covid-19

The Spanish economy has been showing clear signs of structural exhaustion prior to Covid-19. The indicator that summarises this weakness is the stagnation of GDP per capita in relation to the EU average, which has stood at 90% since 2016. This is significantly lower than the 98% reached in 2003, according to a report published by Funcas. The crisis generated by the pandemic hits an economy that was no longer converging with the EU27.

hotel TC

Markets, Spanish economy 27th November 2020

Leisure, Tourism And Hotels: What Will Be, Will Be In A Sector Battered By Covid19

Banco Sabadell | The hotel sector is one of the worst off after the irruption of Covid-19. Travel, both leisure and especially business, has almost completely disappeared. This has led to hotel closures and occupancy levels below 20% in some months. The airlines’ perspectives could be a good proxy in order to try to find out what could happen with hotel demand. IATA forecasts that the number of global passengers will be 61% lower in 2020 compared to 2019. Our forecast of a drop in occupancy is -66% in NH Hotels and -67% in Meliá Hotels.  

oliu torres

Ibex, Spanish economy 27th November 2020

Talks Between BBVA And Banco Sabadell About A Potential Merger Terminated Without Agreement

Renta 4 | The reasons for the cease of negotiations would be, on the one hand, the lack of agreement on the exchange equation and the price to be paid, and on the other, the distribution of power. The suggested retirement for Sabadell’s chairman Josep Oliú in exchange for the operation being paid for in cash would not be well received by the ECB, given the risk of BBVA’s chairman Carlos Torres being charged in relation with the Villarejo case. This could then leave the merged group without a chairman. So the ECB would have urged a joint presidency between Torres and Oliú.

cash or card

Spanish economy 26th November 2020

Spain: Maintaining Cash Flow Is Major Concern For 2021

Crédito y Caución (Atradius) | Most businesses in Spain predict the greatest threats to business profitability in 2021 to include maintaining adequate cash flow, the effective collection of outstanding invoices and the containment of costs (reported by 43%,43% and 40% respectively). Despite the uncertainties of the pandemic more businesses expressed optimism than pessimism about the outlook for their customers’ credit worthiness in 2021.

Green economy

I.R. Spain, Spanish economy 26th November 2020


Sustainable Investment Amounts To 285,454 Million Euros in Spain

Fernando Rodriguez | Sustainable investment in Spain amounted to 285,454 million euros in 2019, up 36% on the previous year, according to ‘Spainsif 2020 Study: Sustainable and Responsible Investment in Spain’. The study was prepared with the answers to a questionnaire provided by 76% of Spanish investment companies and 43% of international ones operating in Spain. 72.8% of the total figure – €207,571 million- is managed by Spanish companies, up 9% on the previous year.

spain poverty oxfam

Spanish economy 26th November 2020

Wage Inequality And Poverty Effects Of Lockdown And Social Distancing In Europe

Juan C. Palomino, Juan G. Rodríguez, Raquel Sebastian (ICAE) | Lockdown measures are likely to worsen cohesion in Europe both between countries and, especially, within countries. Our decomposition exercise shows that between-countries inequality will increase in Europe between 2.5% and 4.0%, while within-countries inequality will increase between 5.0% and 12.1%. In general, we find a greater increase of both poverty and inequality in Eastern and Southern Europe than in Northern and Central Europe.

Latibexok

I.R. Spain, Spanish economy 25th November 2020

“Placing Innovation At The Heart Of Our Commitment To Latin American Markets”

Berta Ares, General Manager, BME Inntech | BME offers unregulated financial services such as trading, information, regulatory and wealthtech services. Our presence in the region focuses in Mexico, Costa Rica, Colombia and Chile. We are present in all these countries, offering solutions and technology in the Wealth Management industry that range from advised and/or discretionary portfolio management to client relationship management solutions. In Colombia, we provide market access and order routing services for the Colombian stock exchange. Both in Colombia and Mexico, our services include information terminals to access real-time economic and financial information of capital markets.

World map

Spanish economy 25th November 2020

How Financial Regulation Can Help Save the Planet

“Let’s say you’re an insurance company and insuring people close to the sea. In Spain, for example, in La Manga del Mar Menor people have vacation homes in an area where sea levels are rising rapidly. If you are an insurance company with properties in areas such as this, this is a disaster. Or if you’re a global company with farmland in Almeria that requires lots of irrigation and Spain’s rainfall decreases dramatically and you can’t cultivate it, you take a massive hit.” The question of climate change and its impact is not a new one – but Antonio Cabrales suggests that there is a new solution, and it lies with the banks.

JASabadellok

I.R. Spain, Spanish economy 24th November 2020

The So-Called Loyalty Shares: An Unnecessary Mistake (Albeit An Avoidable One)

José Carlos González Vázquez (Professor in Commercial Law (UCM). Partner at MA Law Firm) | On September 7, the Official Gazette of the Spanish Parliament published the bill which will modify the consolidated text of the Capital Companies Act. This bill is basically a transposition of Directive (EU) 2017/828 of the European Parliament and of the Council of 17 May 2017 amending Directive 2007/36/EC as regards the encouragement of long-term shareholder engagement. However, some other proposals, not present in the European Directive, have been introduced. Among the most controversial ones is this dealing with the so-called loyalty shares: shareholders of listed companies are given double voting rights if they hold on to their shares for an uninterrupted period of two consecutive years. This means breaking away from the sacrosanct principle enshrined in our Company Law of “one share, one vote” .

spain ecommerce

Spanish economy 23rd November 2020

The Growth Of E-Commerce In Spain During The Pandemic: Myth Or Reality?

Javier Ibáñez de Aldecoa and Eduard Llorens (CaixaBank Research ) | How have e-consumption habits evolved after the COVID-19 outbreak? We address this question using big data techniques and anonymised data from card payments carried out by CaixaBank’s 13.5 million customers. Our results confirm that the pandemic generated a significant, albeit short-lived, increase in the use of e-commerce. At the end of September e-commerce no longer showed any deviation from its growth trend of previous years.