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Economy and Banking Sector of Spain

Financial Market Development

Financial Market Development
4.0 (max 7.0), 68th out of 138 countries
Banks' Soundness
4.6 (max 7.0), 80th out of 138 countries

According to World Economic Forum's Global Competitiveness Report 2017-2018, financial market development in Spain is scored 4.0 out of maximum 7.0 and ranked 68th out of 138 analysed economies, trustworthiness and confidence of financial market is scored 4.2 (76th place).

Financial Market Development in Spain.

Chart 1. Financial Market Development in Spain. Source: WEF.


Soundness of banks is scored 4.6 bringing Spain into the 80th place.

Soundness of Banks in Spain.

Chart 2. Soundness of Banks in Spain. Source: WEF.

Further Information

Deposit Guarantee Scheme

Maximum Protected Amount
100,000 EUR

Deposit guarantee scheme is a financial stability mechanism implemented in many countries to protect bank depositors against the loss of their deposits in the case when a bank is unable to meet its obligations to depositors by compensating certain deposits held by depositors of the bank. This compensation is paid out from the contributions which banks have made into a deposit guarantee fund.

From a depositor's point of view it is important to know:

  • if the depositor is eligible within the terms of the deposit guarantee scheme;
  • if the depositor's bank is a participant in the deposit guarantee scheme;
  • if the depositor's type of deposit is covered by the deposit guarantee scheme.

All these details about deposit guarantee scheme in Spain are summarised in Table 1.

Scheme Participants
all credit institutions operating in Spain
branches of non-EU banks
branches of Spanish banks abroad
Scheme Exemptions
branches of EU-banks (covered by their home countries)
Eligible Depositors
natural persons
legal entities
Non-Eligible Depositors
credit institutions
insurance entities
investment companies
portfolio management companies
venture capital companies
Covered Accounts
credit balances on accounts, including
  • current accounts
  • savings accounts
  • time-deposit accounts
Non-Covered Accounts
bearer accounts
Covered Currencies
all currencies, namely
  • EUR (Euro)
  • foreign currencies
Maximum Protected Amount
100,000 EUR
Paid In Currency
EUR

Table 1. Deposit guarantee scheme in Spain.

Further Information

Country Ceiling for Deposits

Moody's country ceilings for deposits specify the highest rating that can be assigned to local- or foreign- currency denominated deposit obligations of a bank or other deposit taking institution domiciled within that country.

Local Currency (Euro)
Aa1 (high grade)
Foreign Currency
Aa1 (high grade)

Local currency (Euro) deposit ceiling for Spain is set to Aa1 (high grade), foreign currency deposit ceiling is Aa1 (high grade).

Deposit Rates

Average Deposit Rate (Feb 2019, EUR)
0.04 % (unchanged)
In February 2019, an agreed annualised deposit rate in local currency (Euro) of new contracts with agreed maturity up to 1 year between credit institutions and households was 0.04% which was below the Euro Area average (0.32%).
Deposit Rates in Spain.

Chart 3. Deposit Rates in Spain. Source: ECB.

Further Information

Banking Supervision

Banco de España

Banking Sector Structure

Number of Banks
256
Consolidated Assets (2018)
3,549.70 bln EUR  (+0.37%)
Recent Changes (2018)
new banks: 3, closed banks: 6

Currently there are 256 credit institutions operating in Spain.

In 2018 consolidated banking assets in Spain were 3,549.70 bln EUR. The consolidated banking assets' evolution is shown at Chart 4 below.

Consolidated banking assets in Spain.

Chart 4. Consolidated banking assets in Spain.

Recent structural changes (2013 - 2018) of the banking sector of Spain are summarised in Table 2.

201320142015201620172018
Number of Opened Banks264253
Number of Closed Banks1121131166

Table 2. Recent structural changes in the banking sector of Spain.

The list of the most recently opened banks in Spain is provided in Table 3.

NameStart Date
Opel Bank GmbH, S.E. (new)December 2018
Goldman Sachs Bank Europe, SE (new)October 2018
N26 Bank GmbH (new)October 2018
Adyen BV, S.E (closed)November 2017
Sabadell Consumer Finance, S.A. (new)July 2017
National Westminster Bank PLC, S.E. (new)May 2017
Younited, S.E. (new)March 2017
Mizuho Bank Europe NV, S.E. (new)January 2017
RBC EUROPE LIMITED, SUCURSAL EN ESPAÑA (new)July 2016
Unicredit. S.p.a. S.e (new)January 2016
 

Table 3. The most recently opened banks in Spain.

All the credit institutions operating in Spain can be classified into several categories. Table 4 summarises the number of banks in each category.

CategoryNumber of Banks
Banks55
Branches of foreign banks87
Central banks1
Cooperative banks60
Savings banks3
Specialized credit institutions50

Table 4. Number of banks by category in Spain.

There are 90 branches of foreign banks from 14 different countries in Spain. Table 5 shows 10 countries having the biggest number of branches in Spain.

Country of OriginNumber of Branches
 France22
 Germany16
 Luxembourg14
 Netherlands8
 Ireland7
 United Kingdom6
 Portugal6
 Italy5
 Argentina1
 Switzerland1

Table 5. Number of branches of foreign banks in Spain grouped by country of origin.