Monday 25 August 2008

non-performing loans held by Spanish banks almost tripled in the 12 months to June

The value of non-performing loans held by Spanish banks almost tripled in the 12 months to June as a combination of higher interest rates, rising unemployment and a collapsing property market drove many consumers to default.As a proportion of bank's total loan portfolios, money in the hands of delinquent borrowers stood at 1.61 percent of the total, a level that government officials say remains relatively small and does not put the health of the Spanish financial sector at risk.However, with non-performing loans already amounting to EUR 28.4 billion, there are fears that banks will start to suffer if the slowdown continues and an increasing number of clients finds it hard to make ends meet.The government expects interest rates to fall later in 2008 and early in 2009, offering consumers some relief.

0 comments:

BREAKING NEWS

Pageviews from the past week

EUROZONE WEEKLY NEWS JOURNAL

Labels

Recent Posts

Related Posts Plugin for WordPress, Blogger...

Headlines

EUROWEEKLY

FeedBurner FeedCount

Subscribe via email

BACKPACKER WARNINGS

Popular Posts