Post by account_disabled on Feb 20, 2024 0:05:30 GMT -6
It will require three times more provisions to finance SMEs than to lend money to large companies and grant mortgages. ECB alert: Spain is on the way to another bubble due to cheap loans The ECB saved Spain from an economic collapse on Monday The ECB guarantees Spain that it will not allow its risk premium to shoot up to 200 points Rajoy reserves the sale of EPA data to the leaders of the European PP The president of the ECB, Mario Draghi, and the Minister of Economy, Luis de Guindos. The president of the ECB, Mario Draghi, and the Minister of Economy, Luis de Guindos.The discomfort at the top of Santander, BBVA, CaixaBank, Popular... with the regulation prepared by the ECB is manifest. They have already warned Frankfurt that the regulations close off credit to SMEs and seriously put the economic recovery and job creation in Spain at risk. As El Confidencial Digital has learned , through high-level financial sources, the message that has been transmitted these days to the ECB is clear: the current banking regulation clearly harms financing for SMEs compared to that of large companies and individuals. They argue that, to ensure a sustainable long-term economic recovery, it is necessary for the Spanish and European authorities to favor credit to small and medium-sized businesses , which are the main sources of growth and job creation.
Provisions triple in financing for SMEs According to the European capital regulations (CRD IV), the regulation forces banks to retain more capital when they give a loan to an SME , which automatically makes their financing more expensive, as banks are forced to increase the prices they offer. – For an SME with the best credit quality, a bank must retain 2.9 times more capital than for an equivalent large company and 1.6 times more than for a mortgage loan. – For loans to SMEs over 1 million euros, a bank must retain 3.8 times more capital than for a large company and 2.2 times more Middle East Mobile Number List than for a mortgage loan . A study by the European Banking Authority shows that when banks use advanced models, when giving a loan to an SME they must retain 15% more capital than to finance a large company and 3.32 times more than for a mortgage loan. Credit to mortgages and large companies is favored Furthermore, according to the results published by the European Banking Authority, banking stress tests penalize exposures to SMEs , which generates incentives for banks to finance other segments. In the 2014 stress test, the requirements for Spanish SMEs increased by 32% compared to 25% for large companies , that is, a difference of 7 percentage points to the detriment of SMEs. Losses on individual mortgages were 3.4% of the total, compared to 15.1% for SME mortgages.
In standard monetary policy, they add, the European Central Bank does not accept loans to SMEs as collateral to facilitate bank financing, which makes loans to SMEs more expensive.Albert Rivera's party has mobilized to promote an economic debate of the level that Pedro Solbes and Manuel Pizarro led in the 2008 general election campaign. However, it is intended to update the format in various aspects: setting, moderator, setting , structure, tone of the conversation... Sit-in of the gurus to Luis Garicano It must be remembered that the first attempt by the economic head of Ciudadanos to have Nadal, Sevilla and Álvarez sit down with him to confront proposals was a fiasco . 'The debate on La 1' dedicated a discussion this Wednesday night to the analysis of the General State Budgets for 2016 that the Congress of Deputies approved this week. The program presented by Julio Somoano received economic experts from the Popular Party (Antonio Gallego), PSOE (Pedro Saura) and Podemos (Alberto Montero). Luis Garicano proposed that the top officials in this area attend each game. His request fell on deaf ears.
These are some of the comments that were heard this Monday in the hallways of CEOE and Cepyme: -- “ Don't let Rajoy count on us for the campaign . ” Then he will want photos in the companies,” complained an important executive.