Protection for banks
Since yesterday, July 29 and continue until September 8, banks and savings banks may apply the guarantees that allow access to international financing and minimize the risk of their debt issues which are guaranteed by the state for a maximum 64,000 million.
The Economy Ministry has reported that the guarantees have been one of the greatest anti-positive result recorded in the financial institutions, reducing the impact of delinquencies and defaults in the balance sheets of the financial system and making one of the Spanish stronger in this global crisis.
The continuing instability in financial markets abroad and this has prevented the Spanish financial system to access the funding, which has led the government needed to consider the issuance of new state guarantees to facilitate such access while international uncertainty.
The guarantees for the debt issue will allow the entities to extend the deadlines in the range between 3 and 5 years. These releases began in 2008 while in 2009 no new allocations were made due to the intervention of Caja Castilla la Mancha and the bottom bank restructuring.
The conditions for granting of guarantees in relation to the charge that the state commissions have remained unchanged, despite repeated requests from banks to the state to make a cut in the concept.