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What's really happening in the real estate world in Spain? The EOS Team are going to be keeping you up to date with everything that's happening from a market perspective.

Bank boss says foreign investors punishing Spain
Monday, September 8, 2008 @ 1:34 PM

Hmm, saw this article today.  I don't really think it's foreign investors that are to blame.  What about the corrupt town halls and greedy developers?  He doesn't seem to mention those!

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Foreign investors are being excessively negative towards Spain, the chairman of the country's second largest bank said in a newspaper interview published on Sunday.

"Spain has its problems but it is being punished in my view excessively, by foreign investors," BBVA's head Francisco Gonzalez was quoted as saying by daily ABC.

"That has meant the share prices of Spanish banks and other companies are below what they should be."

He said BBVA was trading at a price which did not reflect the quality of the bank.

The bank's shares closed down 3.0 percent on Friday at 11.16 euros.

Spain is suffering the joint shocks of the global credit crunch and the end of its decade-long housing boom which took unemployment to a 10 year high of 2.5 million in August.

Spanish GDP grew at just 0.1 percent in the second quarter from the first, making for expansion of 1.8 percent compared with the previous year which was down from 2.6 percent in the first quarter.

Some economists expect the economy to see negative growth in the third and fourth quarters.

Asked when he expected the Spanish economy to recover from its current problems, Gonzalez said the whole of Europe was dependent on recovery in the United States and the global economy was in unknown territory.

Source: Retuers


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4 Comments


Julie said:
Wednesday, September 10, 2008 @ 5:01 PM

What about the banks trying to be more helpful towards foreign investors by improving their services, lowering charges and making it easier to borrow when buying a property in Spain?


Louise said:
Wednesday, September 10, 2008 @ 10:57 PM

This is just typical of the Spanish Authorities. They have behaved discracefully towards foreign investors, in many cases over charging for loans, bank accounts and foreign exchanges. The Government and local authorites have no respect for the foreign investor/tourist and have had it their way for far too long in my view, it is now pay back time! I for one cannot wait to sell up and return to the UK where I know that I can get honest advice and help when needed via local town halls. I have stopped going into a lot of the spanish bars now because I feel there is a definate feelings from my local area that the British are not wanted anymore (now that we do not have a lot of disposable income to spend in their shops and bars!)
and I used to think England was racist!!! Don't even start me on knocking peoples homes down as and when they feel like it.
Let me get back to the UK asap......


gabriele said:
Saturday, October 25, 2008 @ 5:11 PM

Commenting to Julie and Louise above:

You can open a bank account with Banco de Santander where you don't have to pay bank charges. I recently, did just that in Tenerife.
Otherwise, banks are pretty much the same all over the world which means they are a business. Otherwise, don't forget if you don't ask for something you, generally, are not informed.

We can't even blame a bank manager who sold us something in good face (they usually didn't understand themselves what they were selling with hedge fonds, for instance. I we had doubts we should never have bought.

We also shouldn't blame governments too much when a man like Mr. Greenspan was prophesizing a flourishing economy in the highest academic and economic circles.
Error is human and what we should learn from it is to follow nobody's advice but, our own gut feeling.

I am sorry to hear about about a change of attitude towards the British where you stay in Spain. I have detected nothing of the sort in general on Tenerife Island. Although never having been a big spender locals still treat me with respect. Perhaps, it helps to speak their language and to show some interest in their problems.

I very much doubt that you will get best help by local councils in the UK either at this time of panic and uncertainty.

Don't forget that all which happened which is aggravated by some sensation hungry media circulated within the masses like an epidemic.

The grass is never greener on the other side. Its color is only in the eye of the beholder.



gabriele said:
Saturday, October 25, 2008 @ 5:13 PM

Commenting to Julie and Louise above:

You can open a bank account with Banco de Santander where you don't have to pay bank charges. I recently, did just that in Tenerife.
Otherwise, banks are pretty much the same all over the world which means they are a business. Otherwise, don't forget if you don't ask for something you, generally, are not informed.

We can't even blame a bank manager who sold us something in good face (they usually didn't understand themselves what they were selling with hedge fonds, for instance. I we had doubts we should never have bought.

We also shouldn't blame governments too much when a man like Mr. Greenspan was prophesizing a flourishing economy in the highest academic and economic circles.
Error is human and what we should learn from it is to follow nobody's advice but, our own gut feeling.

I am sorry to hear about about a change of attitude towards the British where you stay in Spain. I have detected nothing of the sort in general on Tenerife Island. Although never having been a big spender locals still treat me with respect. Perhaps, it helps to speak their language and to show some interest in their problems.

I very much doubt that you will get best help by local councils in the UK either at this time of panic and uncertainty.

Don't forget that all which happened which is aggravated by some sensation hungry media circulated within the masses like an epidemic.

The grass is never greener on the other side. Its color is only in the eye of the beholder.



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