Posts Tagged ‘AEB’
the banks refuse to lend and the Spanish did not want to borrow. That was the dilemma of recent years which has engulfed the claims in a vicious circle, whose end will depend on what happens to the crisis and how to solve liquidity problems.
In July, credit and bank loans rose just 0.7%, amounting to 844.526 million euros, according to data released by the Spanish Banking Association (AEB).
Those who were surprised deposits jumped by 5.6% to 695.628 million euros. An amount that is still insufficient to close the gap between the captured and rendered.
According to estimates, banks have managed to cover just over 80 percent of loans granted, which means that banks have had to resort to other sources to cover the funding they have delivered.
To continue this scenario, banks and savings banks will opt to further restrict funding at the risk of becoming insolvent because of lack of liquidity.
the lending continues to stagnate. The economic crisis and fears of rising delinquencies not wake up enough confidence in banks and savings banks remain closed the tap and much more restrictive conditions than before.
Spanish banks had at the end of June with a total of 853.438 million euros in loans to its customers, representing an increase of 0.3% on the accumulated balance in the same month of 2010, according to the latest balance sheet presented by the Spanish Banking Association (AEB).
These data merely confirm once again that the slowdown in the growth of banks’ credit balance, since a year ago, the aggregate grew by 0.7% compared to June 2009.
Most of the credit balance was concentrated until June in the hands of the six major Spanish banks, Santander, BBVA, Banesto, Sabadell, Popular and Bankinter, which account for 81.5% of total volume.
However, the attitude of the banks is also based on reasons related to the gap between funds raised and the credit granted.
According to the same study of the AEB, the deposits of customers in the states as of June reached a balance of 704.216 million euros, but do not reach the amount of credits granted by banks, but there is a gap of 149 222 million euros.
This means that banks have had to resort to other sources of funding to cover the few who have been granting loans. A picture that does nothing but tell us that the situation will remain the same for a while.