Portuguese banking is more dependent. ECB increases financing

  • ECO News
  • 12 September 2017

It is the second consecutive month in which the European Central Bank increases its financing in the Portuguese banking. A sign that the Portuguese banking is more dependent on the central bank.

Confirming last July’s tendency, the European Central Bank (ECB) increased the amount granted to Portuguese banks. In August, the Portuguese Republic’s banking received 23.59 billion euros. The country’s dependence on the central bank is reinforced.

The institution headed by Mario Draghi was more generous with the Portuguese banking in August than it had been in the previous month: 0.42% more generous, to be more precise. In July, ECB granted 23.49 billion euros to Portuguese banks, which was the first increase since April — from then on, there were consecutive decreases in ECB’s financing.

ECB hadn’t granted this much money since March. The financing to the Portuguese banking reached its peak in 2012, when the Central Bank granted 60.5 billion euros. These numbers had been decreasing since 2013, standing at 50 billion euros. And, in November of 2016, they reached a minimum of 22.2 billion.