BANCO SANTANDER SA

EthiFinance Ratings affirms Banco Santander, S.A.'s unsolicited "A" rating, maintaining its "Stable" outlook. Banco Santander, S.A. (hereinafter "Santander," "the Group," or "the Entity") is the largest banking institution in Spain in terms of total assets. Santander is positioned as the leading bank in Spain and one of the major banks globally by total assets, thanks to its presence in Europe, the United States, Latin America, and its digital presence. Its business model is primarily based on commercial banking, focusing on lending, with additional areas such as investment banking, private banking, asset management, insurance, and payment businesses. The credit assessment is based on its positioning in the countries where it conducts its business operations, the low cost of generating income compared to its competitors, and its high market share, especially in Spain. However, the assessment is constrained due to the global environment of rising interest rates, which limits the credit business, along with an uncertain macroeconomic scenario with a potential increase in delinquencies in the coming periods.