## Spain: Financial System Stability Assessment

_IMF Staff Country Reports, June 8, 2012_

## Source details

**Canonical URL:** [Spain: Financial System Stability Assessment](https://www.imf.org/en/publications/cr/issues/2016/12/31/spain-financial-system-stability-assessment-25977)

## Other formats

- [Markdown version](/en/publications/cr/issues/2016/12/31/spain-financial-system-stability-assessment-25977/index.md)
- [Structured JSON version](/en/publications/cr/issues/2016/12/31/spain-financial-system-stability-assessment-25977/index.json)
- [Bundle manifest](/en/publications/cr/issues/2016/12/31/spain-financial-system-stability-assessment-25977/bundle-manifest.json)

## Bibliographic details
- Published: June 8, 2012
- Series: IMF Staff Country Reports
- DOI: https://doi.org/10.5089/9781475504231.002

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### Summary findings
- The report summarizes the findings of the Financial Sector Assessment Program (FSAP) Update for Spain.
- Although there is a core of strong banks that are well managed and appear resilient to further shocks, vulnerabilities remain.
- Substantial progress has been made in reforming the former savings banks.
- The most vulnerable institutions have either been resolved or are being restructured.
- Recent measures address the most problematic part of banks’ portfolios.
- Moving ahead, a further restructuring and recapitalization of some of the remaining weaker banks may be needed as a result of deteriorating economic conditions.

### Major themes and risks
- Banking sector resilience: presence of a core of strong, well-managed banks that appear resilient to further shocks.
- Legacy-sector vulnerabilities: former savings banks required substantial reform; the most vulnerable institutions faced resolution or restructuring.
- Asset-quality focus: recent measures target the most problematic parts of banks’ portfolios, particularly mortgage and loan exposures linked to housing prices.
- Potential future actions: additional restructuring and recapitalization may be necessary for some weaker banks if economic conditions deteriorate.

### Subject areas and keywords
- Subjects: Banking; Commercial banks; Financial crises; Financial institutions; Financial sector policy and analysis; Housing prices; Loans; Mortgages; Prices; Stress testing
- Keywords: bank assets; bank risk; banking group; banking sector; banking system; capital ratio; Commercial banks; CR; debt service; Europe; financial system; Global; Housing prices; interest rate; ISCR; Loans; mortgage portfolio; preference shares; sensitivity analysis; Stress testing; unemployment rate

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## Content in this bundle

- **Spain: Financial Stability Assessment; IMF Country Report 12/137; May 30, 2012**
  - [Spain: Financial Stability Assessment; IMF Country Report 12/137; May 30, 2012 (Markdown version)](/-/media/websites/imf/imported-full-text-pdf/external/pubs/ft/scr/2012/_cr12137.pdf.md){rel="alternate" type="text/markdown"}
  - [Spain: Financial Stability Assessment; IMF Country Report 12/137; May 30, 2012 (PDF)](/-/media/websites/imf/imported-full-text-pdf/external/pubs/ft/scr/2012/_cr12137.pdf){rel="external" type="application/pdf"}

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_Source: https://www.imf.org/en/publications/cr/issues/2016/12/31/spain-financial-system-stability-assessment-25977_