Crédit Agricole Group in the Iberian Peninsula
Present in Iberia since 1875, Crédit Agricole now has 15 entities that are developing numerous synergies in order to strengthen their positioning on their market.
A bit of history
The origins of the Group in Spain can be traced back to 1875 when Crédit Lyonnais opened a branch in Madrid. A retail banking network was then built. Over 125 years, it undergoes several successive phases of development and contraction.
Unlike Spain, when Crédit Lyonnais was restructured in the late 1990s, it left Portugal altogether, although it had been operating there since 1893. Only one factoring subsidiary (Sociedad CL Eurofactoring SA) remains. To find a certain continuity of presence in Portugal until now, it is better to turn to the Caisse Nationale du Crédit Agricole which participated in the launch of the Banco Internacional de Credito in 1986.
In terms of economy
| Spain, a dynamic economy | Portugal, a Sustained Growth Economy |
|---|---|
The Spanish economy continues to grow at a robust rate (2.9% year-on-year in the second quarter), despite multiple factors that have worked against it, such as the weakness of the euro area economies, persistently high inflation and the impact of rising rates. This good performance is due in particular to the good performance of the labour market, continued dynamic immigration flows and favourable international tourism data (+13% of international tourist arrivals since the beginning of the year), which explain the strong contribution of external demand to growth. By contrast, domestic demand has maintained a more modest pace of growth. In the coming quarters, the external sector could give way to domestic demand given the normalisation of the growth rate of the tourism sector and the economic weakness of Spain’s main trading partners. On the other hand, domestic demand is expected to strengthen as the recovery in purchasing power continues and uncertainty about the outlook for monetary policy diminishes. Domestic demand growth is expected to be characterised by a reduced role for public consumption and a gradual reactivation of both private consumption and investment. High job creation and population growth supported a strong increase in gross disposable income (+11% in 2023) which was largely saved. However, stronger domestic demand is not expected to fully offset the slowdown in the external sector. According to our forecasts, Spanish GDP will continue to outperform that of the Eurozone in 2024 (2.6% vs. 0.8%) and in 2025 (1.8% vs. 1.3%). The good growth momentum has enabled Spain to reduce its public deficit from 4.7% in 2022 to 3.6% of GDP in 2023, and its unemployment rate from 13.1% to 12.2%. General inflation declined from 6-tenths in August to 2.2% (3.4% on annual average in 2023), due to lower fuel prices and, to a lesser extent, unprocessed food prices. This represents a further step towards normalising inflation. However, the rise in electricity prices expected by the futures markets could halt this trend by the end of the year. Real estate prices continued to show momentum in the first half of the year (+5.7%). | After solid growth of 2.3% in 2023, Portuguese GDP growth exceeded expectations in the first quarter, supported by improving external demand and by a contraction in imports. However, in the second quarter, GDP showed little progress (0.1%). In annual terms, GDP growth remains at 1.5%. In Q2, the level of activity was thus 6.4% above its pre-pandemic level (Q4 2019) vs. 3.8% for the Euro zone. A still dynamic tourism market, the correction in inflation, a resilient labour market and lower financing costs should contribute to the dynamism of activity in the second half of the year. In addition, a gradual increase in the implementation of EU funds will support investment. As a result, growth will remain dynamic for the current year and averages 1.6% per year. Today, the main downside risks to growth relate to politics with a new minority government unlikely to complete a full term. Inflation slowed to 1.9 percent in August, due to a 1.4 percent decline in energy prices and a slowdown in food prices to 0.8 percent (2.8 percent in July). Without these two components, the underlying rate stabilises at 2.4%, confirming the slow pace of the disinflationary process. The coming months could be less favourable, notably due to the evolution of energy prices: the government recently announced the partial withdrawal of fuel support measures. Similarly, from October, electricity and natural gas prices and tariffs will be updated. These factors suggest a rebound in inflation in the last months of the year, so our inflation forecast for 2024 is 2.5% and 2.6% for core inflation. The labour market remains dynamic with a record number of people employed at the end of March (more than 5 million). The savings rate of Portuguese households has stabilised at a level slightly above its historic low. As for household debt, recent developments reflect a reduction, notably through the early repayment of mortgages. Family wealth rose from 305% of GDP in 2015-2019 to 329% in 2023, mainly due to the increase in real estate wealth. After the reduction in additional savings accumulated during the Covid period, households’ net wealth seems to stabilise. This improved wealth situation should support family confidence and promote consumption The general government budget balance turned into a surplus of 1.2% of GDP in 2023 and is expected to decline to 0.3% in 2024 due to additional expenditure (social benefits) and personal income tax cuts before increasing slightly in 2025 (0.4% of GDP). |
Benchmarks 2023 Population: 48.4 million | Benchmarks 2023 Population: 10.5 million |
Sources : Banque mondiale, Crédit Agricole SA / ECO
The forces at work
The Crédit Agricole Group in the Iberian region has more than 1,700 employees in 16 cities in Spain and Portugal, working with 15 entities.
Gestion d’actifs
| The forces at work | Activities |
|---|---|
Amundi Iberia More than 35 employees | Spain Amundi Iberia manages assets for banks, local asset managers, insurance companies and pension funds, as well as for corporate and individual clients through partner distributors and private banks both in Spain and Portugal. |
Sabadell Asset Management (Amundi subsidiary dedicated to the Banco Sabadell network) Nearly 110 employees | Spain In 2020, Amundi and Banco Sabadell entered into a 10-year strategic partnership for the distribution of Amundi solutions throughout Banco Sabadell's networks in Spain. As part of this agreement, Amundi has acquired 100% of Sabadell Asset Management, which remains dedicated to the Spanish bank. |
Insurance
| The forces at work | Activities |
|---|---|
ABANCA Seguros Generales 95 employees Location: | Spain In 2019, ABANCA and Crédit Agricole Assurances signed a partnership agreement in non-life insurance to operate in Spain and Portugal for a period of 30 years. The company, which is equally owned by Abanca and Credit Agricole Assurances, now operates on a wide range of products. Customer satisfaction rates are well above market levels. |
Mudum Seguros Nearly 100 employees | Portugal Mudum Seguros insurance company has been active in Portugal for almost 30 years and is active in non-life insurance for individuals and small businesses. The customer satisfaction rate after a disaster (car and home) is 95%, one of the highest in the Portuguese market. |
Large Customers Division
| The forces at work | Activities |
|---|---|
CACEIS 325 employees 1st in its non-captive market Location: | Spain Since the takeover of Santander Securities Services at the end of 2019, CACEIS in Spain has grown its customer base and increased its market share. The Group has enhanced its service offering by integrating ESG reporting, execution to custody services and market solutions. CACEIS aims to consolidate its leading role in the Spanish asset servicing market, to increase its presence with insurance companies and to offer its services for pension funds and employee share ownership plans. It also aims to strengthen its position with private equity players. |
Crédit Agricole CIB More than 130 employees | Spain Crédit Agricole CIB has been present in Spain for 28 years and has become one of the most important foreign banks on the market.
Open since 2005, the CACIB representative office in Portugal offers products and services in capital markets, transactional banking, and investment banking as well as structured finance businesses. |
Indosuez Wealth Management More than 80 employees in Spain Among the top 3 foreign wealth managers in Spain Degroof Petercam (via DPAM) Locations: | Indosuez Wealth (Europe) Branch in España is a branch of CA Indosuez Wealth (Europe) and has 5 offices in Madrid, San Sebastián, Bilbao, Valencia and Seville. |
Specialised financial services
| The forces at work | Activities |
|---|---|
Credibom More than 530 employees 1st in its market Location: | Created in 1995, Credibom, a subsidiary of CA Personal Finance & Mobility in Portugal, is a financial company specialising in consumer credit (58% auto loans). Pisca Pisca is a brand specialised in the sale and services of pre-owned vehicles, launched in 2020. |
Sofinco Espagne PMore than 250 employees Location: | As a subsidiary of CA Personal Finance & Mobility, Sofinco Spain is a personal finance specialist launched in 2020 on the Spanish market. With a car financing, household equipment and personal loan business. Sofinco Spain aims to differentiate itself in the Spanish market, increase its market share and strengthen its synergies with Credibom. |
Crédit Agricole Auto Bank - Drivalia Nearly 270 employees Locations: CA Auto Bank | CA Auto Bank is a subsidiary of CA Personal Finance & Mobility specialising in financing, leasing and mobility services in Europe. Drivalia is its rental and mobility company. Financing and leasing solutions tailored to all customer needs. Mobility solutions through Drivalia (short, medium and long-term rental, vehicle subscription service). Ambition to digitalise the customer experience and support the development of sustainable mobility. |
Leasys Spain Portugal | Leasys is a European leader in long-term car leasing, equally owned by Crédit Agricole Personal Finance & Mobility and Stellantis. |
Crédit Agricole Leasing & Factoring Iberia Nearly 80 employees Locations: | In Spain and Portugal, CAL&F is one of the major players in leasing and factoring. |