The Deputy Governor of the Bank of Spain, José Viñals, took stock on the first anniversary of the crisis of subprime mortgages and said that the formidable financial conditions that have occurred in recent 15 years not occur again. Considers that although the banking sector in Spain has endured the turbulence of a solid, recommends seeking new business niches, reducing the financing of the residential sector. From now on the availability of financial resources will be much lower by the tightening in credit conditions.
Due to the worsening of the English economy has been a increase in the delinquency rate on the bench, something that in the opinion of Viñals continue to rise during 2008 and 2009, but financial institutions may face on the strength of their income statements.
Furthermore, Viñals argues that English banks have had a limited impact due to subprime crisis because its activity focuses on traditional financial intermediation, consisting of passive capture customers in order to grant credit, analyzing each case and controlling risk.
also said that the bank building on years of strong growth has accumulated provisions that now allow them to better cope with these times of economic uncertainty.
If you want to know how the crisis started in subprime mortgages may consult the following address . This is an explanation, although extensive, is easy to understand.
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