Spanish banks

Spanish Banks precious

More Provisions For Spanish Banks In The Coming Years?

Funcas believes that the Spanish banking sector would still have to make provisions amounting to 12,000 million euros in the income statements of 2021 and 2022, and expects an increase in doubtful credit between the end of 2022 and early 2023.Specifically, Funcas estimates that the “peak” of doubtful credit will be reached between the end of 2022 and the beginning of 2023, with a subsequent recovery, so that NPLs will be close to, but slightly above, pre-Covid-19 pandemic levels in 2024.


Spanish banks 's 2Q18 results season will start on July 25th

Spanish Banks Lag Behind: Q4’20 Deficit Of €7.336 Bn Compared Average Of €39.6 Bn For The Banking Union

Alphavalue | Spanish banks recorded a shortfall of 7,336 million euros in 4Q20, equivalent to 0.94%, compared to the target for their minimum requirements for own funds and eligible liabilities of 29.10% of risk-weighted assets, set on average for the sector in Spain by 2024 by the SRB. These figures leave Spanish banks lagging behind the Banking Union as a whole, whose average shortfall was 0.58% or 39,604 euros million in 4Q20 with respect to the MREL target.


caixabank sunset

Spain’s Big Banks Earned 7.8 Billion In Q1’21, Half Due To Caixabank-Bankia Merger

T.C. | The five big Spanish banks posted net profit of 7.825 billion euros in the first quarter of this year, compared with a loss of 1.053 billion in the first quarter of 2020, when they made provisions of 3.9 billion to deal with the coronavirus crisis. It should be noted, however, that without the effect of the Caixabank / Bankia merger, the Q1’21 profit would be considerably lower at…


Economy at a glance: the bank of Spain forecasts

Spanish Banks’ Debt With The ECB Doubles In One Year

Spanish banks’ debt with the European Central Bank, which reflects their gross demand of the institution’s regular financing operations, did not show any change in February and remained unchanged at 261.21 billion euros, exactly the same as a month earlier. However, according to Bank of Spain data reported by Europa Press, the increase is 100.24% compared to the same month of the previous year.


oliu torres

Talks Between BBVA And Banco Sabadell About A Potential Merger Terminated Without Agreement

Renta 4 | The reasons for the cease of negotiations would be, on the one hand, the lack of agreement on the exchange equation and the price to be paid, and on the other, the distribution of power. The suggested retirement for Sabadell’s chairman Josep Oliú in exchange for the operation being paid for in cash would not be well received by the ECB, given the risk of BBVA’s chairman Carlos Torres being charged in relation with the Villarejo case. This could then leave the merged group without a chairman. So the ECB would have urged a joint presidency between Torres and Oliú.


Spanish Banks precious

Spanish Banks Lose €11.531 Bn In H1 2020

Spanish banks recorded aggregate attributed losses of 11.531 billion euros in the first half of 2020. This came in the wake of an effort in terms of provisions and write-offs to the tune of 26.518 million euros. Preparation for the economic impact of the Covid-19 pandemic was behind this effort, according to the Spanish Banking Association (AEB).


Retail interest rates are high compared to other Eurozone's countries

The Bank Of Spain Will Keep The Counter-Cyclical Buffer At 0% Until It Returns To A Path Of Recovery

The Bank of Spain has decided to maintain the counter-cyclical capital buffer applicable to credit exposures in Spain at 0% during the third quarter of the year. It will probably also do the same in the coming quarters due to the current context of the coronavirus crisis as the severe macroeconomic and financial impact of the Covid-19 crisis require credit institutions to maintain the flow of financing to the real economy. The aim of the counter-cyclical capital buffer is to reinforce the solvency of the banking system in phases of excessive credit growth.



Euribor rises for fifth consecutive month

Respite For Spanish Banks: The European Court Of Justice Does Not Annul The IRPH Mortgage Index

The Mortgage Loan Reference Index (IRPH) represents approximately 10% of the loans granted in Spain and is the most used for Spanish mortgages after the Euribor, used in 90% of contracts. The Court of Justice of the European Union (CJEU) has left it to Spanish judges to analyze, on a case-by-case basis, whether the banks commercialized their mortgages referenced to IRPH in a transparent manner. They will be able to cancel them if it is found they have been abusive.


The challenge for Spanish banks in 2019: improve profit margins, still at historic lows

Spanish banks: less profit, more dividends: M&A on hold (for now)

The credit quality of Spanish banks looks solid, despite the pull-back in reported profits. Solvency ratios sitting comfortably above requirements offer greater leeway for capital distribution and will result in higher returns, benefiting investors, says Scope Ratings. Spanish bank creditors should see the banks’ improved capital-generation capacity as a sign of strength, even if capital ratios have peaked for this cycle.