European banks

mergers and acquisitions

European banks: Countdown to the M&A ballet

It is only a question of time and the markets are waiting: there will be more consolidation operations in the European banking sector in the next few years, some of them cross-border.

Financing costs for European banks will increase after TLTROs

Financing Costs For European Banks Will Increase After TLTROs’ Adjustment

The TLTROs, or ECB credit lines to European banks, have for years regulated bank liquidity.We are talking about some 725 billion euros in financing, of which 170 billion corresponds to Spanish banks. They are little by little being reduced. It is still not known if they will be withdrawn completely. According to analysts at Morgan Stanley, replacing this quantity of TLTROs would not be a panacea for the banks.

PKO Bank Polsky, DNB Bank and Santander are the strongest European banks to face an adverse scenario

PKO Bank Polsky, DNB Bank And Santander The Strongest European Banks To Face An Adverse Scenario

The EBA published the results of the latest stress tests on 47 European banks, plus one in Norway. These covered 70% of banking assets in the EU and revealed that in adverse scenario they would produce a negative impact of -395 base points in the capital ratio CET1 fully loaded (-410 base points of the transitory definition) to place itself in 10% at the end of 2020 (10.3% transitory). The four Spanish banks, Santander, BBVA, Caixabank and Sabadell, overcame the tests although they came out a little below the average.

European banks after QE withdrawal

How Will The End To QE Affect European Banks?

The ECB will stop injecting liquidity into the system next December. This leaves Eurozone banks in a slightly odd situation: returning to “normality” after years of atypical measures. The withdrawal of QE will have different impacts on different countries, depending on the characteristics of the models of their banking business.

ECB's interest rate policy

The impact of the ECB’s policy of zero interest rates

José Luis M. Campuzano (Spanish Banking Association) |The ECB believes the net effect of a policy of zero interest rates (negative in the case of the deposit rate) has been positive for the revenues of the different economic players. But the impact has not been equal.