The Barcelona Provincial Council has selected Banco Sabadell to manage its Local Credit Program for the next two years (2025-2026), with the possibility of extending the contract for two more years.
As elEconomista.es reported, BBVA and Sabadell were competing for this line of credit for the 311 municipalities in the region, excluding the city of Barcelona. The last edition was awarded to BBVA, which provided this service between 2022 and 2024. Three other entities participated in the public call: CaixaBank, Banco Santander and Caixa d’Enginyers.
The corporation’s program is aimed at town councils and decentralized municipal entities in the province of Barcelona, especially the smallest ones, and has a financial availability of 300 million euros annually.
The loans will have a duration of 10 years, without commissions or expenses, and will be granted with an interest rate based on the three-month Euribor plus the differential set for financial prudence, with a reduction of 67%.
Likewise, the interest on loans from the Local Credit Program can be subsidized up to 1% by the Barcelona Provincial Council.
Two additional lines
Sabadell’s offer also includes a line of bridge loans aimed at advancing subsidies from the Provincial Council or other institutions, with an amount of 250 million euros. This line operates with a maximum interest rate of financial prudence and a maximum term of 60 months, or until the time of collection of the subsidy.
At the same time, another line of credit of 250 million euros is made available, also with a maximum financial prudence rate for a period of up to 12 months.
Sabadell beats BBVA and is awarded the financing of 311 municipalities in Barcelona
Sabadell beats BBVA and is awarded the financing of 311 municipalities in Barcelona
The Barcelona Provincial Council has selected Banco Sabadell to manage its Local Credit Program for the next two years (2025-2026), with the possibility of extending
