Spanish bank BBVA cut credit by 8.4% last year, Santander increased it but by a slight 0.3% in Spain and a 0.2% in UK. The whole of the country’s financial system reduced loans to SMEs and households by an overall 6%… and counting in March. When will this so on and so forth end? No before 2015, as all signs point out.
The credit that banks awarded to families reached € 774.6 bn at the end of March, which according to the Bank of Spain meant a drop of 0.4% against 777.7 bn in February, and also a 4.8% regarding 2013’s March. Therefore, credit to households already accumulates nine succesive of fallings after the little increase recorded in June last year.
As regards credit granted to small and medium size’s firms, it climbed to €1bn, which represents a descent of 0.5% regarding February. Credit to companies do not have a monthly increase since October last year. On a year-on-year basis, corporate credit fall is more severe than private considering it contracted by 9.5%.
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