The Bank of Spain said Friday an independent audit of the country’s troubled banks shows they would need an extra $76.3 billion to cover for further economic shocks.
The stress tests’ findings, released by consultants Oliver Wyman, will help the country decide how much money it will tap from a European loan facility offered back in June to prop up its financial sector. Spain’s banks have been struggling with toxic assets stemming from the collapse of the country’s property market in 2008. The banks have been reluctant to loan out more money, stunting the economy.
News Tribune news services
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