Statement from BBVA chairman Carlos Torres Vila at the opening of the course organized by the Spanish Association of Financial Journalists (APIE) at the Menéndez Pelayo International University in Santander.
We live in times of rapid change. And in this age of change, we refuse to just sit with the audience as mere spectators; we want to be in the spotlight, we want to play a leading role in this digital revolution, in this reality that demands us to be able to quickly adapt. It is in this context of relentless transformation that has prompted BBVA Research to launch new website: more user-friendly, with expanded features and a responsive design that adapts to any browsing device.
The European Council announced this Tuesday that it has approved a series of regulatory changes previously approved by parliament, which aim “to reduce risks in the banking system.” The legislative package, known as CRD-V, revises capital requirement legislation and the recovery and resolution framework that governs financial institutions within the eurozone.
BBVA Research, the research services arm of BBVA, has released its most recent edition of the “Spain Economic Outlook” where it forecasts a slight slowdown in growth. The report was presented today by BBVA Research Director and BBVA Group Chief Economist, Jorge Sicilia, and Rafael Doménech, Head of Economic Analysis at BBVA Research. The forecast lowers first quarter expectations to 2.2 percent in 2019 and 1.9 percent in 2020 (from 2.4 percent and 2 percent, respectively). Even so, the report signals that an improvement in economic activity could be underpinned by the global economy’s gradual recovery, an increasingly expansionary stance on monetary policy, continued low oil prices, and the positive conclusion to uncertainty stemming from different sources. Consequences of such a scenario would see a salary increase exceeding the inflation rate, an up to 12 percent reduction in unemployment in 2020, and the creation of close to 630,000 jobs over the next two years.
According to the latest Economic Outlook published this week by BBVA Research, GDP growth is expected to slow to 2.5 percent in 2019 and 2.0 percent in 2020, while the risk of recession remains elevated over the next 24 months.
76 percent of Spanish enterprise businesses and 68 percent of SMEs will increase their investment in Latin America in 2019. Spanish investors see the best prospects in Colombia, Brazil, and Mexico, according to the latest report 'Spanish Investment Landscape in Latin America', which was prepared by IE University, in collaboration with Llorente & Cuenca and Iberia, and presented at Casa de América in Madrid.
BBVA Research modified its forecast of Latin America’s growth. The region will continue recovering, but growth will be more moderate and gradual than expected, primarily due to external factors. BBVA economists estimate that Latin America will grow 2.1% in 2019 and 2.14% in 2020 (or 0.3% and 0.2% less than previously expected, respectively).
In 2018, a significant series of external factors caused investors to lose confidence, which resulted in increased volatility in the markets. Still, for the investment team at BBVA Asset Management, the current “positive economic cycle” has not yet reached its end: the world is not on the edge of another global economic crisis.
BBVA Research maintains its forecasts of 2.4% growth in Spain in 2019 and 2% in 2020, according to the latest report, Spain Economic Outlook. The report was presented today by BBVA Research Director and BBVA Group Chief Economist Jorge Sicilia, and Rafael Doménech, the Head of Economic Analysis at BBVA Research. BBVA Research indicates that the recovery will continue, although the trend toward moderated growth is expected to consolidate over the coming quarters. Should this forecast be confirmed, the economy could add around 800,000 jobs over the next two years. This would represent a decrease in the job creation rate, but lower unemployment to 12.6% in 2020.