Spain’s Mid-Sized Banks Need To Improve P&L Ahead Of Consolidation
Spain’s medium-sized banks are prime targets in the next expected round of sector consolidation. But these lenders need to improve their P&L accounts ahead of further integration.
In Spain
Spain Calls Elections With One Eye On Portugal
Fernando Barciela | Passos Coelho won the elections in Portugal with 38.6% of the vote, but lost his majority in parliament. Even though he has been tasked with forming a new government, Portuguese left parties have adopted a pragmatic approach which makes an agreement between the Socialist Party, Communist Party and Bloco de Esquerda increasingly likely. For the time being, they have already appointed Eduardo Ferro Rodrigues, a socialist, as the President of the parliament.
Conditioning Factors For Spain’s Banks In 2016
Last week the Spanish banking sector began its third quarter results presentations, but analysts are going one step further and are already looking for indications ahead of 2016. The outlook is not wholly favourable if we take into account the factors affecting it on the downside.
Spain’s Labour Market Gets Best Figures In Four Years Thanks To Temporary Work
The amount of unemployed people in Spain – the country’s biggest problem – fell below 5 million in the third quarter of the year, for the first time since 2011. The jobless rate dropped 1.19 percentage points to 21.18%, while the employment rate rose 1%. But the improvement is exclusively due to temporary work contracts.
“Spain Has Managed To Gain A Position On The World Stage”
Fernando Barciela | Spain has some abilities, which were inconceivable three decades ago. A position which has been achieved through our companies’ hard work,” says Regino Moranchel, former CEO of Indra, the leading Spanish technological company and one of the four most important European companies by stock market capitalisation.
The new political scenario may wreck the Spanish economic recovery
Polls predict no party will command a comfortable majority in Spain after the generel elections in December. It is the first time this has happened in the new era of democracy. No one knows for sure what the plausible consequences might be, but you can bet they will cause undue damage to the economy.
Spain banks ready for a new round of mergers
A new round of mergers amongst Spanish banks could just be round the corner. The Bank of Spain has also added its voice to the market rumours, the “off the record” comments from bank directors and the warnings from international organisations about the sector’s delicate health.
Spain has reason to be tranquil
The direct impact of the global slowdown in Spain is being offset by the positive indirect effects on private consumption. High GDP growth rates will be maintained in 2015 and 2016, but these will moderate progressively, with economic growth seen falling to 2.8% from 3.1% in 2015 as reported by Bank of Spain last week.
Spain’s deficit deviation worries Brussels, but not the markets
The European Commission estimates Spain’s budget deficit will be 4.5% of gross domestic product in 2015 instead of the required 4.2%. The discrepancy will widen in 2016, with an estimated deficit then of 3.5% of GDP compared with the 2.8% target.
Can Madrid survive without rating?
Fernando Barciela | Madrid leftwing Mayor Manuela Carmena (Ahora Madrid) upset the markets and the media last week with her decision to fire credit rating agencies Standard & Poor’s (S&P) and Fitch, effective from 2016.