wild climb inflation why is this happening raise rate in favor of Income between banks the sector has committed not to push the elderly and rural people into financial exclusion at the request of the Government. Nevertheless, The Bank of Spain insisted again this Thursday that financial institutions should continue. reduce your costs Then branch settings and templates What they have accomplished since 2008 is unprecedented. most vulnerable groups.
“We can’t leave them behind. Another thing is, we can’t tell them to banks don’t close offices and do not reduce staff. we can’t because we’d be killing the banking business. what they have to do double stepDuring the presentation of the 2021 Audit Report, resources from the public institution were included, such as before the pandemic, in the digital process and in the adjustment of the physical structure with concrete measures without causing exclusion.
The body, headed by Pablo Hernández de Cos, argued that although the rise in interest rates increases the income of banks, it can cause losses if banks suddenly appear. increase in defaults as well as the greater difficulties of customers in coming to terms with their debts. depreciation Additionally, he warned, the impact of public debt portfolios occupation of Ukraine In the Spanish economy, it is also a increased guilt to a level that it does not dare to measure (although it is “manageable” in principle).
But beyond these temporary uncertainties, the Bank of Spain continued, organizations need to continue reducing their physical networks. digitization services requested by the majority of its customers. contest entirely with technology companies. They will have to reduce their physical structures and increase their technological structures with new investments that bring costs along. big closing Pandemic showed the banks and all of us what they can do to speed up digitization. The problem is that when accelerating, the imbalances that cause occurred. exclusion bags this should be avoided,” the sources continued.
The overall assessment of the supervisory body is that the organizations “very high resistance” During the pandemic, however “The uncertainty continues” because of the war and because most grace periods will start to expire when the principal of 39% of loans made to companies with public guarantees of ICO are paid off. This is why banks can’t “raise their hands” precautionary criterion“This should guide their decisions.
In line with this, the agency urged banks to continue keeping supplies extraordinary to bear the losses incurred during the pandemic and at the same time to be prudent remuneration to shareholdersAlthough he stated that general restrictions will not be imposed on the entire sector, as in the first year of covid, and will be worked on on a case-by-case basis. He also underlined that there is still “a lot of room”. mergers between smaller entitiesAlthough the route of these operations among the big 10 is “more limited”.
Likewise, the Bank of Spain warned that it “must continue to protect” the sector. customers’ trust”. In this sense, banking services “already clearly they are no longer free“, but insisted again that commissions must be clearly communicated to the client and correspond to services. “really processed, not imagined”.
The body, on the other hand, showed its concern about it. “crossword” what does it mean to apply sanctions Russia for organizations and auditors, sometimes due to the complexity of interpretation of its scope and the non-overlapping of those imposed by the United States and the European Union. Therefore, he explained that organizations should do it. strengthen legal departments and regulatory compliance, risk management and general governance so that managers can monitor their compliance.