The head of BBVA, Carlos Torres Vila, speaks amid the stock market storms this week, pointing to conditions affecting several banks in the United States and Europe. He refers to Swiss Credit Suisse and American lenders like Silicon Valley Bank, Signature, and First Republic. In doing so, he positions the bank as a voice of steadiness for the industry, expressing that trust remains and that opportunities still exist despite ongoing turmoil. He assures investors that 2023 can be a good year if the environment offers opportunities and the group stays the course, speaking before shareholders.
Torres emphasizes a sharp response to the rate hikes implemented by central banks to curb inflation, noting how higher borrowing costs have pressured markets and created periods of volatility and uncertainty this week. Yet he remains confident about 2023, arguing that BBVA’s business model and risk management are robust enough to weather the swings in market sentiment.
Looking ahead, he describes a landscape shaped by geopolitical and financial uncertainty, higher inflation, and the potential for longer-lasting rate effects. Still, recent data has surprised to the upside in some months, supported by a resilient labor market, stable supply chains, and moderate raw material prices across Europe and the United States.
Within Spain, the economy has performed better than expected and may accelerate in the first quarter as the economy adapts to higher energy costs and the savings accumulated during the pandemic. BBVA’s outlook remains optimistic for opportunities ahead, though risks persist. The bank projects GDP growth around 1.6% for 2023.
Salaries and Governance
During shareholders’ discussions, former Sacyr chief Louis del Rivero, who has faced investigations, again criticized BBVA for not cooperating with the National Court in the ongoing case. He cited several articles and calls for the establishment of an independent body within the bank to oversee governance processes. Some requested the dismissal of certain directors who served during the period under review.
In response, the president did not engage directly, but the board secretary reinforced BBVA’s stance of full cooperation and ongoing prudent action. Current managers clarified that they do not bear responsibility for the investigated facts, and the bank maintains that no conclusions arise linking them to the case in question.
Shareholders also pushed for higher salaries and reforms to the mortgage framework, among other claims. Torres noted that the bank is already working to improve employee conditions and to expand its workforce.
Within the broader governance discussion, attention turned to the human impact of rate hikes. Torres acknowledged the added burden on family finances and described BBVA’s response, including adherence to Good Practice Principles agreed with the government and offering additional options to ease mortgage payments for vulnerable groups such as the elderly.
He highlighted the bank’s contributions, including a substantial tax footprint of nearly 11 billion euros from BBVA and third parties. He also noted an ongoing effort to optimize the workforce, with reductions of around 11,000 roles over time, reflecting changes in the banking landscape.
In summary, Torres urged unity in facing the present environment. BBVA would continue supporting families and businesses and strive to drive growth toward a more prosperous, sustainable, and inclusive economy that leaves no one behind.