Corporate Banking in Spain

RAROC profiles and pricing benchmarks for 3 Spain banks, sourced from Pillar 3 disclosures.

Overview

OpenRAROC tracks 3 banks headquartered in Spain with a combined corporate credit exposure of EUR 413bn. The average Spain bank in our dataset has a cost-to-income ratio of 39.6% and an average corporate probability of default of 2.59%. On a representative BBB+ EUR 25M 5-year term loan, these banks generate an average RAROC of 6.66%.

Cheapest vs most expensive in Spain

On the standard sample deal, CaixaBank is the cheapest lender in Spain, requiring just 263bp to hit a 12% RAROC hurdle. The most expensive is BBVA at 294bp — a difference of 31bp on the same deal. For a EUR 25M facility, that's EUR 76,277 per year in interest expense.

All 3 banks ranked by RAROC

RAROC computed on a representative BBB+ rated, 5-year, EUR 25M term loan at 150bp spread. Click any bank for its full profile.

#	Bank	C/I	Avg PD	LGD	EAD	RAROC	Min spread
1	CaixaBank	39.4%	3.10%	38.4%	EUR 104bn	7.01%	263bp
2	Santander	41.2%	2.91%	38.9%	EUR 152bn	6.76%	269bp
3	BBVA	38.2%	1.76%	38.3%	EUR 157bn	6.20%	294bp

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