Spanish banks' bad loan rate highest in 18 years

[April 18, 2012]  MADRID (AP) -- The amount of bad loans on Spanish banks' books has risen to an 18-year high of 8.15 percent, central bank figures show.

The Bank of Spain said Wednesday that bad loans accounted for euro143.8 billion ($188.84 billion) of a loan total of euro1.76 trillion in February. The figure was up euro3.79 billion up from January, when it represented 7.91 percent.

The bank added that the total figure for loans was down by euro6.36 billion in February compared to a month earlier.

Spanish banks' bad loans and toxic assets are among the chief reasons investors are concerned about the country's ability to handle its finances and avoid seeking an international bailout.

[Associated Press]

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