According to World Economic Forum's Global Competitiveness Report 2019, financial market development in Spain is scored 77.5 out of maximum 100.0 and ranked 26th out of 144 analysed economies.
Chart 1. Financial Market Development in Spain. Source: WEF.
Soundness of banks is scored 5.1 bringing Spain into the 68th place.
Chart 2. Soundness of Banks in Spain. Source: WEF.
Banks in Spain are mainly focused on the following areas:
Currently there are 251 credit institutions operating in Spain.
In 2019 consolidated banking assets in Spain were 3,675.54 bln EUR. The consolidated banking assets' evolution is shown at Chart 3 below.
Chart 3. Consolidated banking assets in Spain.
Recent structural changes (2013 - 2018) of the banking sector of Spain are summarised in Table 1.
|Number of Opened Banks||2||6||4||2||5||3|
|Number of Closed Banks||11||21||13||11||6||6|
Table 1. Recent structural changes in the banking sector of Spain.
The list of the most recently opened banks in Spain is provided in Table 2.
|Opel Bank GmbH, S.E.||December 2018|
|Goldman Sachs Bank Europe, SE||October 2018|
|N26 Bank GmbH||October 2018|
|Adyen BV, S.E||November 2017|
|Sabadell Consumer Finance, S.A.||July 2017|
|National Westminster Bank PLC, S.E.||May 2017|
|Younited, S.E.||March 2017|
|Mizuho Bank Europe NV, S.E.||January 2017|
|RBC EUROPE LIMITED, SUCURSAL EN ESPAÑA||July 2016|
|Unicredit. S.p.a. S.e||January 2016|
Table 2. The most recently opened banks in Spain.
All the credit institutions operating in Spain can be classified into several categories. Table 3 summarises the number of banks in each category.
|Category||Number of Banks|
|Branches of foreign banks||84|
|Specialized credit institutions||50|
There are 87 branches of foreign banks from 13 different countries in Spain. Table 4 shows 10 countries having the biggest number of branches in Spain.
|Country of Origin||Number of Branches|
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:
All these details about deposit guarantee scheme in Spain are summarised in Table 5.
Table 5. Deposit guarantee scheme in Spain.
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) deposit ceiling for Spain is set to Aa1 (high grade), foreign currency deposit ceiling is Aa1 (high grade).
Chart 4. Deposit Rates in Spain. Source: ECB.