ADVFN - Advanced Financial Network.
HOME» NYSE » B » SAN Stock Price » SAN Stock News

Banco Santander Chile Share News

 Banco Santander Chile (new) Stock Price
SAN Stock Price
 Banco Santander Chile (new) Stock Chart
SAN Stock Chart
 Banco Santander Chile (new) Stock News
SAN Stock News
 Banco Santander Chile (new) Company Information
SAN Company Information
 Banco Santander Chile (new) Stock Trades
SAN Stock Trades

New Argentina Bank Rules to Spur At Least ARS15 Billion in Loans

By Taos Turner BUENOS AIRES--Argentine banks will offer at least 15 billion Argentine pesos ($3.3 billion) in investment-credit lines thanks to new government rules that force them to do so, the Central Bank of Argentina said Thursday. The rules, which compel banks holding at least 1% of the country's total deposits to lend 5% of their own deposits at subsidized rates, aim to boost business investment at a time of weakening economic growth. Central Bank President Mercedes Marco del Pont said the best way to create jobs and stimulate the economy is to set bank deposits aside for this type of lending. The new rules will affect the Argentine subsidiaries of several large foreign banks, including Spain's Banco Santander SA (SAN, SAN.MC) and Banco Bilbao Vizcaya Argentaria SA (BBVA, BBVA.MC), HSBC Holdings PLC (HBC, HSBA.LN, 0005.HK), and Citigroup Inc. (C). The interest rate on the loans will be set at Badlar plus four percentage points. Badlar is the average interest rate on fixed-term deposits above one million pesos ($221,238). Based on data from June, that would put the annual rate for the new loans at around 15%. That is far below the annual rate of inflation, which most economists have said likely totals around 25%. In recent years, banks have been reluctant to lend below this level because of its inherent risk, and expectations for future inflation that have long been around 25% or 30%. At least half of the loans must go to small businesses. "This is very important as a symbolic gesture," said Nicolas Dujovne, head of the consultancy Nicolas Dujovne y Asociados. "Until now it had been taboo to touch the banking sector because of concern about the consequences of doing so. This puts us in unchartered waters." Mr. Dujovne, who spent more than a decade as the chief economist at Banco Galicia, one of the country's biggest banks, said the government may now be tempted to further tap the banking system. "This won't cut that much into banks' earnings," he said. "The most important thing is that it sets us on a new path with banks and the potential expropriation of earnings and discretional use of bank capital." Banco Galicia is part of Grupo Financiero Galicia SA (GGAL.BA, GGAL). Argentine President Cristina Kirchner outlined the rules late Wednesday, saying private-sector banks have made a lot of money in Argentina and it is time for them to do more to spur growth. "This will put some pressure on the banks' profitability," Moody's Investors Service analyst Valeria Azconegui said Thursday. Ms. Azconegui said bank lending rose at a quick pace in 2010 and 2011 but the growth rate has been slowing this year. Write to Taos Turner at taos.turner@dowjones.com

Stock News for Banco Santander Chile (SAN)
DateTimeHeadline
01/29/201513:03:13Banco Santander SA 4Q 2014 -- Forecast
01/16/201506:14:02Spain's Isolux Corsan Plans to Raise EUR600 Million in IPO
01/09/201516:45:41U.S. Stocks Fall Despite Stronger-Than-Expected Jobs Report
01/09/201516:45:28Santander Stock Plunges Below Capital Hike Price -- 2nd Update
01/09/201516:42:46Correction to Santander Stock Plunges Below Capital Hike Price
01/09/201516:39:07Santander Stock Plunges Below Capital Hike Price--Update
01/09/201516:37:46European Shares Weighed Down by Banking Stocks -- 2nd Update
01/09/201514:16:19Santander Shares Plunge to Below Price at Capital Hike
01/09/201508:14:12European Shares Weighed Down by Banking Stocks -- Update
01/09/201505:49:07Banks Drag European Stocks Lower
01/09/201505:03:02European Shares Weighed Down by Banking Stocks
01/09/201504:16:07Santander Shares Priced at EUR6.18 Each in EUR7.5 billion Capital...
01/08/201520:28:28Car Loans See Rise In Missed Payments
01/08/201513:35:17Santander to Raise $8.88 Billion in Capital -- 3rd Update
01/08/201513:29:56Santander Chairman Says No Plans for Acquisitions
01/08/201512:47:49Santander to Issue 1.26 Billion Shares in Capital Increase
01/08/201510:54:25Santander to Raise $8.88 Billion in Capital -- 2nd Update
01/08/201509:23:43Santander to Raise $8.88 Billion in Capital -- Update
12/29/201410:13:02Novo Banco Has Four Potential Buyers
12/23/201411:49:23U.S. Hot Stocks: Hot Stocks to Watch

Banco Santander Chile and other New York Stock Exchange stock quotes are delayed by at least 20 minutes.
All other stock price data is delayed by at least 15 minutes unless otherwise stated.
By accessing the services available at ADVFN you are agreeing to be bound by ADVFN's Terms & Conditions
Contact Us | Copyright 1999-2007 ADVFN PLC. | Privacy Policy | Investment Warning | Data accreditations | Investor Relations

ADVFNADVFN ItalyADVFN GermanyADVFN FranceADVFN BrazilADVFN JapanADVFN UKADVFN US noad