Assets associated with non-bank intermediation increased by 8.1% in 2021, to 328,000 million

MADRID, 7 Dic.

Assets associated with non-bank intermediation increased by 8.1% in 2021, to 328,000 million


The assets that make up non-bank financial intermediation (IFNB) stood at 328,000 million euros at the end of 2021, which is 8.1% more than in 2020, when they ended the year at 303,600 million euros.

This is revealed by the report on non-bank financial intermediation in Spain published this Wednesday by the National Securities Market Commission (CNMV).

This amount represents 6% of the total financial system, compared to the 5.8% that it represented in 2020, percentages that are still very far from the 14% that they represent in other advanced economies.

The report reveals that the Spanish financial system grew notably again in 2021, with which its assets stood at 5.49 trillion euros, 6.2% more than at the end of 2020.

The assets of other financial institutions (OIF) grew by 2.3%, reaching 875,000 million euros, with a relative weight in the system of 16%.

More than half of the increase came from central bank assets due to monetary policy operations, and 40% from bank assets. All the subsectors of the system presented advances except insurance, which experienced a decrease of 1.8%.

Investment funds were the most relevant entities, concentrating 91% of total assets, followed by far by securitization vehicles, with 6.2%. The rest of the entities --financial credit establishments, broker-dealers and reciprocal guarantee companies-- accounted for barely 3% as a whole.

The analysis of the risks of non-bank financial intermediation "continues without pointing to the existence of relevant vulnerabilities from the point of view of financial stability", according to the organization.

The results of the stress tests that the CNMV periodically carries out on Spanish investment funds have revealed that this market is "resistant" to the different redemption shock scenarios proposed for the different categories of funds.

Thus, with data up to December 2021, only 13 vehicles could experience liquidity problems in the most extreme scenario, which is between 15 and 20 times more severe than the worst week of reimbursements of the Covid-19 crisis.

The CNMV has detected a "certain increase" in average leverage compared to 2020, but not an intense or widespread use of it.

On the other hand, the use of fund liquidity management tools in Spain in 2021 was much lower than that observed during the previous year, when the Covid-19 crisis originated, while in 2022 five institutions activated the mechanism of partial refunds due to the war between Russia and Ukraine.