The benefits to Spanish banks from the ECB's recent lowering of its repo eligibility criteria will be limited, say analysts, in spite of the fact that the move had appeared to be aimed at easing conditions for the troubled sector.
But banks may well be encouraged to structure new deals to fit the criteria, they said. Spanish banks looking to offload property developer loans could stand to gain the most.
Until now, only RMBS and SME CLOs with at least a single-A rating were eligible as repo collateral. But