The Spanish government gave synthetic securitizations the go ahead when it passed a law in September, but, the Bank of Spain has not yet indicated whether it will grant issuers regulatory capital relief, according to officials familiar with the situation.
The Bank of Spain is studying the eventual need to introduce regulatory changes or some kind of legal interpretation regarding synthetic securitization. But, it has not set a timetable to make a decision, according to Ricardo Fernández, spokesman.
The central bank has not made any statements since the law permitting synthetic deals was passed, according to officials. One Spanish securitization expert said the central bank is unlikely to come out with a statement before year end.
