At midnight tonight, the Spanish financial sector programme formally concludes after 18 months.
Spanish financial markets have
stabilised, banks have increased liquidity, their solvency position
remains comfortable, deposits have been rising and access to funding
markets has been improving. The restructuring of banks having received
state aid is well underway, guided by the restructuring plans adopted by
the Commission. The governance, regulatory and supervisory framework of
the banking sector has been significantly strengthened, so as to ensure
that the irresponsible practices which led to the crisis in the first
places will not be repeated.
The programme has achieved its
twin objectives of repairing and reforming the Spanish financial sector,
and in so doing, helping to create a sound basis for the economic
recovery. These efforts have been carried out alongside major structural
reforms aimed at restoring competitiveness, and significant fiscal
consolidation to ensure the sustainability of public finances.
The challenges facing Spain remain
considerable and there should be no complacency. Efforts must continue
to deliver a steady and sustained fall in unemployment, which remains
dramatically high. Reforms must be pursued and fiscal consolidation must
proceed as agreed.
Nonetheless, today we can conclude
that the programme has worked. Thanks to the Spanish authorities'
determined efforts and the support and solidarity of the euro area
Member States, confidence in the Spanish economy has returned, and
justifiably so.
