Spain

As Spain recovers from the 2012 banking crisis, attention is being placed on the appropriateness of the institutional framework for financial sector oversight. The complex and relatively fragmented set up has two main features—a strongly sectoral approach to prudential and conduct oversight and systemic risk surveillance, and the active direct involvement of government. The architecture has become more complex with the creation of the Banking Union, which inter alia has changed the nature of Banco de España (BdE)’s responsibilities for prudential supervision of banks.