President’s Letter

I assume the presidency of AEB with enthusiasm and a sense of responsibility at a time of significant challenges. This is not unprecedented, as our sector has faced considerable challenges since this association was founded 45 years ago, demanding the utmost attention and leadership from all my predecessors.

We are a sector that supports the economy, essential for the prosperity of businesses and families, and one that continuously transforms to address the challenges facing our society. The most recent of these include a global pandemic and a war in Europe.

The banking sector today boasts high solvency and financial strength—with very high capital ratios exceeding those required by the supervisor—and well-defined business models that combine proximity, efficiency, innovation, and competitiveness. In many of these aspects, we are the best banking sector in Europe.

This was evident during the pandemic, when the sector channeled over one hundred billion euros in credit with public guarantees to our companies within a few weeks, while maintaining service to our clients through all channels.

Now, facing a new uncertain scenario and the challenges posed by high inflation, setbacks in globalization, and a shift in monetary policy, I have no doubt that banking will continue to play a central role in the Spanish economy and social progress. It will do so by relying on its great strengths: trust, security, stability, and efficiency. At the same time, it faces three major inherent challenges or transformations:

• Digital transformation, where banks must continue to rely on talent, investment capacity, and regulations that apply equally to all players, to continue offering the best solutions and support to our clients, without leaving anyone behind. Furthermore, we will be very active in important debates such as data management and the development of the digital euro, always placing the consumer at the center.
• The green transition, where banking can and must play a key role in financing renewable energies and supporting companies, especially SMEs, in their own transformation.
• Completing the European single market by advancing banking union, with a common deposit guarantee fund that allows for a complete break in the sovereign-bank loop.

We will work in all areas and with all the tools at our disposal to bring banking closer to society. We will promote more and better services, but we will also work with regulators and listen to all representative stakeholders and interlocutors to guide priorities and drive plans and projects to strengthen financial inclusion and education. We will collaborate with authorities to raise awareness about cybersecurity challenges and the prevention of technological fraud. And we will continue to support investment and business competitiveness as an essential path for the progress of individuals, their projects, and aspirations.

We have much to do. To achieve these objectives, AEB relies on a great team, dedicated and expert, which has demonstrated adaptability and strength during critical times for the economy and the sector. A team that also draws on the knowledge and experience of its member entities, whose contributions are fundamental.

We are now embarking on a new stage, in which we will build upon these foundations to reinforce the knowledge and contribution of our sector to the economy and, above all, to society.

Alejandra Kindelán

April 5, 2022