November 30, 2020

Guardiola (Sabadell) reproaches the Government for not creating an independent agency for EU funds




Banco Sabadell is now on the lips of the entire sector due to its merger with BBVA, whose negotiations were announced yesterday. The contacts are not yet closed and in the bank they prefer not to slip any details on the subject. Its CEO, Jaime Guardiola, has indicated that «the only thing we can say is that there are no decisions taken, that we have opened the” due diligence “. And in the coming weeks we will know what the result is. This has been pronounced in the XXVII Meeting of the Financial Sector organized by ABC and Deloitte, under the sponsorship of the Appraisal Society, with the title «Building the future».

On the other hand, the manager has been wet about the arrival of European funds. A game of 140,000 million It is essential for Spain to move into the future, but it has certain shadows already from the start. “The formula of looking for independent agencies would have been much more positive,” he stressed. That is to say, that the administrations are not in charge of managing and controlling the distribution. An extreme rejected outright by the Government of Pedro Sánchez.

On the basis that the Executive does not contemplate this possibility, for Guardiola it is “very important” that the management, distribution and control “be done well.” “I would like to see in the national debate how the funds will be used”, has added. In this sense, our country is gambling several points of GDP with the arrival of this money, according to the Government’s own calculations.

Without leaving Europe, the CEO of Banco Sabadell has shown his resignation to the low interest rates of the European Central Bank (ECB). “They started out low, and went negative. Now we are saying that there is no time horizon in sight to get out of this expansionary monetary policy. Structurally, one thinks that we will have to get used to living like this. That puts a lot of pressure on the way of managing ”, he stressed. Underlying dart to those who do not stop putting pressure on the bank due to their low profitability and pushing towards mergers, and which seem to obviate the current monetary policy as one of the reasons for the profitability crisis of the banking union. When the raw material, money, is worth nothing, everything is followed, they repeat continuously from the financial sector.

Beyond this, Guardiola has recognized that his main concern in United Kingdom It is not so much Brexit, whether it is hard or not, but the profitability of its subsidiary there, TSB. ‘Our position in the UK and on our assets is that the cost of risk from Brexit is not a concern. It is a concern that we have the bank with a negative profitability, “he explained. The reason: that the entity there is not exposed to companies, but rather is a “retailer” bank, highly focused, for example, on mortgages.

To re-float TSB, thus, Sabadell has launched a cost adjustment plan. “It is a plan based on cost reduction as a fundamental element”, has said. This implies reductions in staff and branches in that territory, although these are measures also proposed for Spain, with at least 1,500 workers who will have to leave the entity and which is already being negotiated with the unions.

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