Spanish bank borrowing from ECB continues to balloon

bank-of-spain

Spain's banks borrowed a record €130.2 billion ($166.9 billion) from the European Central Bank (ECB) in July, up 3% for the month, data published on Friday by the Bank of Spain showed.

The sum is the largest lent to Spanish banks by the single currency zone's central bank since its establishment in 1999. The spike in lending follows results of stress tests which showed five Spanish banks would be left with tier one capital ratios of less than 6% under an adverse macroeconomic scenario - the crit