After the hike in interest rates by the Central Bank of Turkey on September 13 (625 basis points from 17.75 percent to 24 percent), the Turkish government today (Thursday) unveiled a new economic program for the next three years (2019-2021). BBVA Research in a report released Thursday believes that both monetary policy and fiscal policy are now better geared toward correcting inflation and the imbalances of the Turkish economy.
BBVA has issued a €1 billion contingent convertible bond, or CoCo, (Additional Tier 1 or AT1) with a coupon of 5.875 percent, equaling its lowest-ever rate for this type of issue. High demand has allowed it to reduce the coupon by 50 basis points, from the initial 6.375 percent. This is a perpetual instrument (without a specific maturity date) over which the issuer reserves a call option in the fifth year.
The expiration of ECB Vice-President Vítor Constancio’s term in June and the subsequent appointment of Luis de Guindos as his successor marked the beginning of the European Central Bank’s senior management renewal. But, how are ECB executive board members appointed?
The European Central Bank unveiled today the new €100 and €200 notes, which will be introduced in May 28, 2019. These notes complete the Europe series, the second since the introduction of the euro. The new notes, featuring security components that make them harder to counterfeit, are the highest-value denominations after the phase out of the €500 note.
Francisco González, the executive chairman of the BBVA Group, is a member of the International Advisory Panel of the Monetary Authority of Singapore (MAS) and is a frequent visitor to the country. This weekend, he took part in the Singapore Summit, an event aimed at “connecting Asia with the rest of the world.” While there, Francisco González granted an interview to the Spanish daily ABC, in which he speaks about the “extraordinary moment” the bank is going through, having chosen to embark on a digital endeavor, the results of which have been striking. These results include an increase in digital sales, which accounted for 42 percent of total sales in July. “The first fruits of digitization have been really superb,” he says.
As widely expected, the ECB concluded its monetary policy meeting yesterday without making any changes to its monetary policy stance. As BBVA Research’s ECB Watch report notes, there were other key takeaways that came out of the meeting, such as the end of the Asset Purchase Programming, and the confirmation that the bank is in no rush to hike interest rates. From an economic standpoint, the institution affirmed its inflation outlook but slightly lowered its growth expectations for the euro zone.
Your credit score. Just three little numbers that can impact your credit card interest rate, how much you can borrow, and sometimes even whether you’re qualified to borrow money or not.
The Central Bank of the Republic of Turkey (CRBT) decided today to raise the official interest rate by 625 basis points from 17.75 percent to 24 percent. As a BBVA Research report points out, the hike came in above market expectations (21 percent according to Bloomberg consensus estimates), and BBVA Research’s own forecast (22.75 percent). BBVA Research welcomes the move and believes it should be backed up by a medium-term coherent and detailed fiscal plan.
BBVA is listed in this year’s edition of the Dow Jones Sustainability Index (DJSI), the market’s benchmark index, which tracks the stock performance of about 3,400 listed companies in terms of environmental, social and corporate governance matters.
Understanding money seems simple enough, right? You earn it, you owe it, you spend it. Simple. But studies show that people who take the time to learn and understand some basic financial information are better off now and more likely to achieve their short- and long-term financial goals in the future.