Top Stories

Spanish economy

VultureTC

Spanish economy 17th August 2016

Vulture Funds Leave Spain in Search of Fresh Game

F.Barciela / F.G. Ljubetic | Just as was expected, the ‘Opportunity Funds’ (or Vulture Funds as they are referred to) are starting to unwind positions and leave Spain: good news, because it shows that the days of bargains are over as the country is firmly on the road to recovery. But the fact these funds are leaving Spain doesn’t mean they will not have other opportunities. Now they are betting on countries like Brazil, Greece, Italy or Puerto Rico.

juicioTC

Spanish economy 16th August 2016

Bankruptcy and other proceedings

J. L. Martínez Campuzano (Spanish Banking Association) | There are very few doubts about the basic strength of the Spanish economy at the moment, in line with relevant data. But there is one statistic published recently which deserves some special attention, namely that related to Bankruptcy Proceedings in Q2.

Insurace sector dividend

Spanish economy 11th August 2016

The future of insurance companies: merge or disappear

Mari Pinardo | Insurance companies, particularly the European ones, are up against a rock and hard place due to the low interest rate environment, the need to look for long-term profitability, the lack of investor appetite and the impact of Brexit on European fixed income markets. This backdrop, coupled with the high level of fragmentation in the sector in Spain, is likely to lead to more consolidation in the short-term.

property market

Spanish economy 10th August 2016

Spain’s banks no longer main players in property market

F.Barciela /F. G. Ljubetic | If the banks are still the protagonists in terms of granting mortgages to private individuals, another thing is new developments where their role is decreasing. Burned by what happened in the past, the banks are looking very closely, and selectively, at each new development proposal. This has meant that in the last few years alternative financing formulas have emerged which property developers are using to push ahead with their projects.

construcciongruaTC

Spanish economy 5th August 2016

Spanish banks’ exposure to bricks and mortar is still worrying

Spain’s banks currently have on their books something close to 213 billion euros in property risks (assets and loans). Is that a lot or not? Judging by the recent reports from the Bank of Spain or Moody’s, the total is rather worrying: and we are not talking about small change but about the fact that our lenders still have an amount of property on their balance sheets equivalent to 20% of GDP.

Innovation is still missing in Spain

Spanish economy 3rd August 2016

Innovation still in free-fall in Spain

A recent European Commission report on innovation indicators highlights that Spain is the third country, along with Lithuania, which has fallen behind the most in matters of innovation – after Romania and Hungary. Since the start of the crisis in 2008, Spain has lost an average of 0.8% annually in R&D output.

camareroTC

Spanish economy 2nd August 2016

Spain July unemployed falls to lowest level since August 2009

It’s good news for Spain’s economic recovery. The number of unemployed people registered with Spain’s public employment services dropped by 83,993, or 2.2%, in July from June to 3.683.061 million, the lowest level since August 2009. It was also the biggest fall in the month of July since 1997.

euro españa

Spanish economy 29th July 2016

The Risks For The Spanish Economy In 2017 Begin To Take Shape

Spain’s GDP growth rate in the first half of this year has been solid. In the second quarter, GDP expanded 0.7% quarter-on-quarter nearly in line with the 0.8% rise in the first quarter, translating into a 3.2% year-on-year increase. So overall, the balance for the first half of 2016 has been favourable. And the strong performance over this period means that it is very likely GDP growth will be close to 3% for the full-year. But there are downward risks for 2017.