In Spain, the restructuring of the financial sector continues in line with the expected schedule.
As for banking activity, the financial deleveraging process continues while the NPA ratio is still rising. The NPA ratio for the domestic sector, including public administrations, stood at 11.2% at the end of May, following a one-off reduction in December 2012 and February 2013 due to the transfer of loans to the Asset Management Company for Assets Arising from Bank Restructuring (SAREB).
In an environment marked by the easing of tensions in the markets, several financial institutions have completed issues and reduced the funds taken from the European Central Bank (ECB). At the end of May, this funding from the ECB by the Spanish financial system stood at €250 billion, €63 billion less than at the beginning of the year.