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Finance

Finance

We have experienced the deepest global crisis since the Great Depression. Among the things that have changed - perhaps for good - is the way the financial sector now acts at  a global level to manage both credit and reputational risk. This has coincided with what amounts to a genuine explosion in technology, which has undoubtedly only just begun.

Ricardo Gómez Barredo, Director of Accounting & Supervisors at BBVA taught the Rafael Termes Lesson at the University of Navarra’s School of Economics. “A clear and fair regulatory framework will contribute to financial stability, innovation, customer protection and efficiency gains in the market,” he told the 27th class at the School of Economics and twelfth class receiving a dual degree in Law.

Moody´s ratings agency has confirmed its stable outlook for the Spanish banking sector. This reflects the agency´s view regarding the evolution of the sector over the next two years. Moody´s believes that GDP growth will allow financial institutions to continue improving their asset quality metrics, although at a slower pace than last year. Likewise, Moody´s expects that the profitability of the banks will be maintained throughout 2017-2018, since lower provisions will compensate for the pressure on margins due to low interest rates.

An exchange rate system, also called a currency system, establishes the way in which the exchange rate is determined, i.e., the value of the domestic currency with respect to other currencies. Choosing the currency system is a pivotal element of the economic policy adopted by a country’s government. The currency system has significant repercussions on the flexibility of the exchange rate and on other instruments of economic policy.