The Spanish Confederation of Savings Banks, which represents 42% of the Spanish financial sector, held its 107th General Assembly today, chaired by Isidro Fainé.

In 2013, investment in Obra Social by CECA's member entities exceeded €650 million.

The heads of the savings banks and banks that emerged from savings banks met today at CECA's headquarters to hold their 107th General Assembly, chaired by Isidro Fainé, Chairman of the Spanish Confederation of Savings Banks. One of the main issues analysed during the session was the new Law on Savings Banks and Banking Foundations, which establishes the new legal framework for the sector. The legislation, in which CECA has played an active role in the drafting process, facilitates the capitalisation of banks and improves their corporate governance standards. In this framework, banks will be better prepared for the challenges of the Banking Union and the further integration of the European financial market.

In this context, as the Chairman of CECA said, the Banking Union "is the most important milestone in the process of European construction since the launch of the single currency in 2002". For 2014, CECA has made it a priority to provide its member entities with all the assistance they need to meet this challenge. To accomplish this task, CECA relies on the "European Savings and Retail Banking Group", of which Isidro Fainé is Vice President, thus ensuring direct contact with the main international authorities.

Strong sector committed to its values

The session reflected on the transformation of the sector, which has made important adjustments during the consolidation process and the reduction of installed capacity. Since 2008, the number of branches in the sector has been reduced by 33.9% and the number of employees by 29.5%. In terms of deposits, savings banks and banks emerging from savings banks account for 42% of the Spanish financial system.

This progress in the restructuring of the sector, combined with the improvement in economic activity and the entry into force of the reforms of the European financial system, "will lay the foundations for the recovery of the flow of credit to the private sector", stated Fainé during the General Assembly. The transformation of the sector has been carried out while maintaining the commitment to the values that identify the member entities, based on what are known as the three "Rs" of the World Savings and Retail Banking Institute: Retail (retailers), Rooted (rooted within their territory) and Responsible (aimed at returning value to society and financial inclusion).

The Foundations and Obra Social Committee, the main forum for exchanging experiences, cooperation and research in relation to Obra Social, also convened today. The investment in Obra Social by CECA's member entities in 2013 exceeded €650 million. More than 50% of these funds were allocated to projects associated with social welfare and health care, which are the most needed in the current economic context. In addition, a total of €315 million was allocated to the granting of microcredits.