Measure to support credit and the financial sector in banking systems considered material for Spain

Abstract

Since March 2020, the world’s major economies have approved financial and regulatory measures to limit the impact of the health crisis on both the overall economy and their respective financial systems. This paper summarises the measures implemented by countries outside the European Union and the euro area that are considered material for the Spanish banking system (the United Kingdom, the United States, Mexico, Brazil, Turkey, Chile, Peru and Colombia). It focuses particularly on the measures that remain in force, both those attempting to support the most vulnerable sectors affected by the pandemic (moratoria on loans to households, firms and other entities) and those intended to encourage lending and to support the financial system. The former set of measures has already expired in the vast majority of the countries considered, although some temporary easing of the solvency and liquidity requirements applicable under normal conditions remains in effect. Nonetheless, these measures will foreseeably come to an end in the near future (e.g. the reduced countercyclical buffer requirements and the deferred implementation of accounting and prudential standards).