Mexico props up slump at Spain’s BBVA

BBVA, Spain’s second-biggest bank, posted a 7.3 per cent drop in first-quarter net profit, with margins squeezed by high funding costs and a price war for deposits in its sluggish home market.

BBVA’s Latin American units, especially Mexico, helped mitigate the slump in Spain.

Net profit came in at €1.15bn (£1.02bn), marginally above forecasts.

Net interest income in Spain dropped 11.3 per cent, with profits sinking by a third.