Spain’s banks bleeding cash as deposits shrink
Sept 18, 2012 7:37:04 GMT -5
Post by popcorn on Sept 18, 2012 7:37:04 GMT -5
Spain’s banks bleeding cash as deposits shrink 
There are significant outflows of deposits now in Spain and they won’t start coming back until people are sure they’re safe and that Spain is secure
.
Spanish banks, already hooked on cheap European Central Bank loans, are hemorrhaging deposits as the government debates whether to seek a bailout.
Households and companies drained 26-billion euros (US$34-billion) from Spanish bank accounts in July, driving the ratio of loans to deposits among lenders to 187% from 183% in December and 182% a year earlier, according to data compiled by the Bank of Spain. Shrinking deposits undermine the ability of banks to support economic growth by lending to companies and consumers.
read more:
business.financialpost.com/2012/09/17/spains-banks-bleeding-cash-as-deposits-shrink/?utm_source=feedburner&utm_medium=feed&utm_campaign=Feed%3A+FP_TopStories+%28Financial+Post+-+Top+Stories%29&utm_content=Google+Reader
There are significant outflows of deposits now in Spain and they won’t start coming back until people are sure they’re safe and that Spain is secure
.
Spanish banks, already hooked on cheap European Central Bank loans, are hemorrhaging deposits as the government debates whether to seek a bailout.
Households and companies drained 26-billion euros (US$34-billion) from Spanish bank accounts in July, driving the ratio of loans to deposits among lenders to 187% from 183% in December and 182% a year earlier, according to data compiled by the Bank of Spain. Shrinking deposits undermine the ability of banks to support economic growth by lending to companies and consumers.
read more:
business.financialpost.com/2012/09/17/spains-banks-bleeding-cash-as-deposits-shrink/?utm_source=feedburner&utm_medium=feed&utm_campaign=Feed%3A+FP_TopStories+%28Financial+Post+-+Top+Stories%29&utm_content=Google+Reader