Company: BBVXF
Filing Date: 2025-01-30
Form Type: 6-K
Source: 0000842180-25-000002
Chunk: 36

Company: BANCO BILBAO VIZCAYA ARGENTARIA, S.A.
Filing Date: 2025-01-30
Form: 6-K
Chunk 36
---
   92,925 |     |  1.2 |     |    16.4 |     |   91,865 |
| Efficiency ratio (%)                                                              |     |     30.3 |     |      |     |         |     |     30.9 |
| NPL ratio (%)                                                                     |     |      2.7 |     |      |     |         |     |      2.6 |
| NPL coverage ratio (%)                                                            |     |      121 |     |      |     |         |     |      123 |
| Cost of risk (%)                                                                  |     |     3.39 |     |      |     |         |     |     2.96 |
| ⁽²⁾ At constant exchange rate.                                                    |     |          |     |      |     |         |     |          |
| ⁽³⁾ Excluding repos.                                                              |     |          |     |      |     |         |     |          |
| ⁽⁴⁾ Includes mutual funds, customer portfolios and other off-balance sheet funds. |     |          |     |      |     |         |     |          |

Translation of this report originally issued in Spanish. In the event of a discrepancy, the Spanish-language version prevails.

| 35 |

#### Macro and industry trends
GDP growth decelerated in 2024 and will remain relatively limited in 2025, in a context marked by uncertainty around the impact of the recently approved constitutional reforms and the policies of the new United States Administration, as well as by an expected process of fiscal consolidation after the increase in the public deficit in 2024. In particular, BBVA Research forecasts that GDP growth will reach 1.2% in 2024 and 1.0% in 2025, unchanged from previous forecasts. Annual inflation reached 4.5% at the end of 2024 and is expected to moderate to between 3.0% and 4.0% in 2025. In this context, policy rates, which were cut to 10.0% in December, are expected to decline further, converging to around 8.0% by the end of 2025.

Regarding the banking system, with data at the end of November 2024, the volume of credit to the non-financial private sector increased by 13.2% year-on-year, with growth in all the main portfolios: consumer credit (+18