MADRID Dec 15 There is room for further banking
consolidation in Spain, the Spanish central bank's deputy
governor said on Thursday following reports over the last two
weeks that struggling lender Banco Popular could be
merged with a rival.
"I think there is margin to keep advancing with the process
of consolidation," Fernando Restoy told reporters at a banking
conference in Madrid.
"At the moment we are in a process in which things are
changing, and therefore financial institutions have to reflect
on their strategy," he said.
Popular said on Dec. 1 it would replace its chairman, who
had long maintained the bank was financially strong enough to
remain independent. His ouster could mark Popular out for a
potential takeover and trigger another round of
(Reporting by Jesus Aguado; Writing by Angus Berwick; Editing
by Paul Day)