Company: BCDRF
Filing Date: 2025-02-28
Form Type: 20-F
Source: 0000891478-25-000054
Chunk: 840

Company: Banco Santander, S.A.
Filing Date: 2025-02-28
Form: 20-F
Chunk 840
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In November 2022, Royal Decree-Law 19/2022 was published, which establishes a Code of Good Practices in response to the rise in interest rates on mortgage loans for primary residences and Royal Decree-Law 6/2012 of protection measures for mortgage debtors without resources. The code of good practices is focused on granting capital grace periods and extending the term of the operations. The requests made have not been significant. Corporate & SME financing Credit risk with SME and corporates in commercial banking amo unted to EUR 102,342million, lower than December 2023, mainly due to the fall in the portfolio of SMEs of 4.4%. This portfolio accounting for 36% of the t otal, compared to 38% of CIB's portfolio, which from 2022 includes branches in Europe. Most of the portfolio corresponds to clients who have been assigned a credit analyst, who performs continuous management of said clients during all phases of the risk cycle. The portfolio is broadly diversified and not concentrated by sector of activity. Santander Spain has continued to rely on its support and proximity to SMEs and the self-employed and has positioned itself as the leading entity in ICO Loans in 2024 with 816million euros of financing, which represents a 39% share in the Spanish financial system. The majority of this financing was allocated to the ICO Companies and Entrepreneurs Lines and to a lesser extent to the ICO International Line and to housing rehabilitation. The ICO loans that were granted as a result of the pandemic ( 25,428million euros) are being repaid normally and there is a balance of EUR 12.7billion, so they now represent only around 4.4% of Santander Spain's total portfolio. In the case of delinquent operations with ICO guarantee, the transfer of the overdue guaranteed amounts will take place as the guarantee is executed, regardless of whether the guarantor is subrogated to the right to receive said amounts, according to the regulation of these guarantees. The de-recognition of the transferred guaranteed amounts will entail the recognition, at its fair value, of a collection right against the guarantor. The portfol io’s NPL ratio stood at 5.07% in December 2024. The NPL ratio decreased by 20bps compar ed to December 2023, due to a reduction in the delinquency stock in SMEs