spanish banks mergers

Spanish banks mergers

Spanish Bank M&A: Reaching The Next Level Of Efficiency Gains

Spanish banks have made drastic efforts since the financial crisis to improve efficiency. They were among the most active in Europe to adjust their branch networks. But while the number of branches has reduced in many countries, the workforce has not always followed the same pace of adjustment. For analysts at Scope Ratings, there is still room for efficiency gains, particularly as digitisation continues. “Transition in Spain can only accelerate, leaving room for consolidation”, they say.

Bank of Spain 800x400

Spain’s Banking Sector Would Cut Costs By Up To 27% With Mergers

The Spanish banks could use mergers to achieve cost savings of up to 27%, due the increase in asset volumes these transactions would bring. The entities emerging from these tie-ups with over 200 billion euros in assets would cut costs between 8% and 27%, while those with 50-100 billion euros in assets could save between 4% and 20%, according to the latest edition of think-tank Funcas’ bi-monthly Economic Information Journal.