January-March 2013

Macro and industry trends

In the first quarter of 2013, the restructuring process in the Spanish financial sector continued at a strong pace. The plans agreed with the European authorities are being complied with. Banks in Group 1 and 2 have been recapitalized for a total of €40 billion, well below the existing credit facilities of €100 billion. As stipulated, the banks have transferred assets linked to the real-estate sector for a total of €50 billion to the Asset Management Company for Assets Arising from Bank Restructuring (SAREB).

Meanwhile, the financial industry is continuing with its process of deleveraging. This is having a negative effect on the asset quality of the system. The NPA ratio had a one-off fall in December to 10.4%, due to the transfer of assets to SAREB. However, by the end of January it had risen to 10.8%.

Finally, the easing of financial tension in the last few months of 2012 and the start of 2013 has led to a reduction in the funds requested from the ECB, which amounted to €272 billion at the end of February, the lowest level since April 2012.