bank

Catalonia’s debt increased by 9.6% while the Spanish Government’s grew by 14% in the last year

September 15, 2012 03:05 PM | CNA

The Autonomous Communities are responsible for 18.7% of Spain’s global public debt, while they manage around 40% of the country’s public spending. The Spanish Government’s share represents 76.8% of Spain’s global debt, which reached €804.39 billion at the end of June. Spain’s debt is now 75.9% of the GDP. The Catalan Government has a debt of €43.95 billion. The day before, the Spanish Finance Minister announced that the Catalan Government had a 0.59% deficit for the first half of 2012. Furthermore, Catalonia suffers from a structural fiscal deficit due to Spain’s fiscal redistribution scheme, which annually takes away 8.5% of its GDP, a €17 billion annual solidarity contribution.

CatalunyaCaixa earns €1 billion by commercialising 6,700 houses in 7 months

August 9, 2012 11:14 PM | CNA

The Catalan savings bank, which the Bank of Spain intervened in last September, is selling part of its real estate stock. During the first seven months of 2012, the bank has commercialised 6,700 housing units, 40% more than last year’s same period. Around 90% were sold and the rest were rented. 56% were newly built houses and 44% were second hand properties. Regarding the location, 54% were in Catalonia, 12% in Valencia, 12% in Andalusia and 8% in Madrid.

CaixaBank, BBVA and Santander resist the stress test and would not require bailout money

June 22, 2012 01:05 AM | CNA

Independent auditors state that in the worst possible scenario the Spanish banking system would need up to €62 billion. The Eurozone agreed to put at Spain’s disposal up to €100 billion if needed. In the most likely scenario, the Spanish banking system would require between €16 billion and €25.6 billion. Within the most stressed case, Spain’s three main banks would have enough resources of their own to face difficulties and would not need any additional funding. They are the Barcelona-based CaixaBank and the two international giants BBVA and Banco Santander.

CatalunyaCaixa would need an additional €4.5 billion to meet the last financial requirements

June 8, 2012 01:17 AM | CNA

According to the Bank of Spain’s Deputy Governor, the Catalan bank would need an additional amount of €4.5 billion to meet the capital requirements of the last decree approved by the Spanish Government. Before this announcement, the Spanish State had already allocated €2.97 billion to rescue CatalunyaCaixa. Novagalicia would also need €4.5 billion. Combined, these €9 billion are to be added to the €19 billion for Bankia. The Spanish Government refuses to give the total figure required by the entire banking system, as it waits for the independent audit’s results. However, the IMF leaked that Spanish banks might need €40 billion.

Banc Sabadell’s President defends the work of the current Bank of Spain Governor

May 31, 2012 12:23 AM | CNA / Josep Molina

Josep Oliu, President of Banc Sabadell, thinks that if somebody is to be made responsible for the current crisis, a thorough analysis of the decisions of sector managers during the 2003-2007 period should be made, and not among those currently in charge. Oliu, who has been a banker “all his life”, feels he is a “victim” of a situation provoked by managers who were “not acting as bankers”. The Catalan banker recognised that the Spanish banking system can still face the new requirements on its own but it is getting “closer to the limit of its own economic capacity”. Besides, Oliu was very satisfied with the European Commission’s green light for CAM’s integration into Banc Sabadell’s business.

Grifols strengthens its presence in the Chinese market

May 22, 2012 03:33 PM | CNA / Laura Quintana

The Catalan pharmaceutical company Grífols, third worldwide company in plasma derivatives, has signed a cooperation agreement with the Shanghai Blood Bank. The agreement, which strengthens the presence of the Catalan company in China, promotes blood genotyping research. The Chinese institution will use the Grifols’ genetic test BLOODchip in transfusion compatibility studies. Shanghai Blood Bank serves over 20 million people and receives more than 300.000 donations per year. In 2011, Grifols sales in China grew by 30%.

Mario Draghi “recognises” Spain’s “significant effort” but asks for “perseverance”

May 4, 2012 12:32 AM | CNA

The President of the European Central Bank, whose Governing Council met in Barcelona on May 3rd, praised the Spanish Government’s “significant effort” made in a “very short period of time” to approve structural reforms. However, Mario Draghi, asked Spain “to persevere” in the strategy based on austerity and accomplish further reforms. The ECB’s President emphasised Europe’s need to adopt measures strengthening economic growth but without abandoning the principles of austerity. Draghi recommended continuing to reduce public spending in order to control the deficit. As expected, the ECB is maintaining the interest rate at 1%.

The Catalan President advised Mario Draghi against worsening the crisis by reducing the deficit too fast

May 3, 2012 01:51 AM | CNA / Patricia Mateos

Coinciding with the European Central Bank Governing Council organised in Barcelona, the President of the Catalan Government, Artur Mas, met with Mario Draghi and other members of the ECB Governing Council. Mas took the opportunity to explain to the ECB the Catalan Government’s austerity measures and its efforts to reduce Catalonia’s public deficit. He also spoke of his party’s support to all the reforms taken at Spanish level, despite being unpopular. However, Mas warned the ECB President that reducing the deficit too fast in the middle of an economic recession might worsen the crisis.

Martin Schulz asks the ECB to directly buy debt from Member States

May 3, 2012 12:19 AM | CNA / Gaspar Pericay Coll

The President of the European Parliament is visiting Barcelona; coinciding with the European Central Bank Governing Council meeting that is taking place in the Catalan capital. Schulz asked Member States to be less focused on “budget cuts” and start “working together”, otherwise there is a great risk that the EU might end up “failing”. The German politician praised Catalan culture, and reaffirmed his will to push for Catalan being an official language in the Parliament he chairs. Schulz met with the Catalan President, Artur Mas, as well as with Catalan author Jaume Cabré.

Banc Sabadell earns €80 million in the first quarter of 2012 after reaching a solvency rate of 11.88%

April 27, 2012 12:17 AM | CNA

During the first quarter of the year, the Catalan bank placed €293 million in provisions to strengthen its financial position. Despite the provision, Banc Sabadell had a net profit of €80 million in the first 3 months of 2012, which represents a 5% decrease when compared to the same period last year. The CEO of Banc Sabadell said that creating a “bad bank” in Spain to manage real estate assets is “unnecessary”, as the Catalan bank is “self-sufficient” and is “satisfied” with the management of its own real estate assets.

Schengen to be suspended for the ECB summit in Barcelona and 6,500 policemen to be deployed

April 23, 2012 10:48 PM | CNA / Laura Quintana

The Spanish Government has taken this measure for the European Central Bank (ECB) Governing Council that will be held in Barcelona from May 2nd to 4th. The cancellation of the Schengen Protocol comes after a request by the Catalan Minister for Home Affairs to prevent the arrival of violent protesters and guarantee security during the meeting. This precautionary measure will come into effect from April 28th to May 4th, both included. It will be combined with 6,500 police deployed on the streets of the capital of Catalonia. All these measures will be taken after an evaluation of the risks of trouble during the event.

CatalunyaBanc is put up for auction

April 12, 2012 10:53 PM | CNA

The bank created from Catalan savings bank CatalunyaCaixa is expected to be sold within the next two months. CatalunyaCaixa was intervened by the Bank of Spain last September 30th, as it could not reach the required core capital. The Spanish Fund for Orderly Bank Restructuring (FROB), owned by the Spanish State, currently owns 89.74% of CatalunyaBanc. The FROB has decided to disinvest in the Catalan bank, which starts a competition process that will sell 100% of CatalunyaBanc’s shares.