Arab Today, arab today madrid city hall mulls court challenge to interestrate swaps
Last Updated : GMT 19:28:45
Arab Today, arab today
Arab Today, arab today

Madrid city hall mulls court challenge to interest-rate swaps

Arab Today, arab today

Arab Today, arab today Madrid city hall mulls court challenge to interest-rate swaps

Madrid Mayor Manuela Carmena
Madrid - AFP

Madrid's left-wing city government said Monday it may challenge its costly interest-rate swap agreements in court, just days after it announced it would drop the services of credit rating agencies.

The city government, led by an alliance of leftist groups, including members of anti-austerity Podemos party which is close to Greece's ruling Syriza, said in a statement it would closely review all of its swap agreements with banks with a view to possible legal action.

Under these contracts city hall must pay a fixed interest rate on its debt which is much higher the  existing market rate, the statement said.

"This is how enormous amounts of money have been lost," city hall said.

It estimated that the difference in the interest rate that it pays and the market rate has cost it 247 million euros ($280 million) in extra interest payments as of August.

Madrid's city government has 1.99 billion euros of debt in variable interest rates, of which 90 percent is linked to "risky" financial products, the statement said.

The possibility of a legal challenge of the terms of the swap deals in court is likely to heighten businesses' concerns about the administration of Manuela Carmena, the leftist new mayor of the Spanish capital.

Carmena, a former judge, came to power earlier this year as part of a broader swing to the left in May local and regional elections, putting an end to 24 years of rule in the Spanish capital by the market-friendly conservative Popular Party which governs at the national level.

She has ordered an sweeping audit of the public finances of the city of some 3.5 million residents, which has a total debt of six billion euros.

At the beginning of the month Madrid's city government announced it was considering not renewing ios contracts with credit rating agencies Standard & Poor's and Fitch.

Name *

E-mail *

Comment Title*

Comment *

: Characters Left

Mandatory *

Terms of use

Publishing Terms: Not to offend the author, or to persons or sanctities or attacking religions or divine self. And stay away from sectarian and racial incitement and insults.

I agree with the Terms of Use

Security Code*

Arab Today, arab today madrid city hall mulls court challenge to interestrate swaps Arab Today, arab today madrid city hall mulls court challenge to interestrate swaps

 



Arab Today, arab today
Arab Today, arab today Prepares to present her new collection

GMT 14:29 2017 Monday ,20 February

Prepares to present her new collection
Arab Today, arab today Tourism shows signs of recovery

GMT 09:59 2017 Monday ,20 February

Tourism shows signs of recovery
Arab Today, arab today Sarah Belamesh designs antiques of "ceramic"

GMT 19:45 2017 Monday ,20 February

Sarah Belamesh designs antiques of "ceramic"
Arab Today, arab today 11 family members dead in rebel push

GMT 07:57 2017 Tuesday ,21 February

11 family members dead in rebel push
Arab Today, arab today To probe sexual harassment claims

GMT 10:08 2017 Tuesday ,21 February

To probe sexual harassment claims
View News in Arabic - Business: اقتصاد دولي
Arab Today, arab today
Arab Today, arab today
Arab Today, arab today 57 monkeys carrying 'invasive' genes

GMT 16:00 2017 Tuesday ,21 February

57 monkeys carrying 'invasive' genes
Arab Today, arab today 63-Year-Old Woman Delivers Baby

GMT 12:35 2017 Tuesday ,21 February

63-Year-Old Woman Delivers Baby
Arab Today, arab today Small ponds have outsized impact

GMT 15:53 2017 Tuesday ,21 February

Small ponds have outsized impact
Arab Today, arab today Pluto's unruly moons

GMT 06:31 2015 Thursday ,04 June

Pluto's unruly moons
Arab Today, arab today Nissan enhances sales in most markets

GMT 14:08 2017 Monday ,20 February

Nissan enhances sales in most markets
Arab Today, arab today Competes Sweden and Germans by S90

GMT 22:36 2017 Thursday ,16 February

Competes Sweden and Germans by S90
Arab Today, arab today Ahmed Fahmy stresses he did not ignore singing

GMT 06:34 2017 Sunday ,19 February

Ahmed Fahmy stresses he did not ignore singing
Arab Today, arab today London to tax old cars

GMT 14:06 2017 Friday ,17 February

London to tax old cars

GMT 21:11 2017 Saturday ,18 February

Egypt to hold first session of Arab film festival

GMT 06:50 2017 Wednesday ,15 February

Tragic fluctuations of Bakhtiari's life revealed

GMT 19:10 2017 Friday ,17 February

Hats, scarves add beauty to women

GMT 20:41 2017 Wednesday ,15 February

Teach monkeys to recognize themselves in mirror

GMT 23:29 2017 Thursday ,16 February

Home built on sand castles-style costs $8m

GMT 14:51 2017 Monday ,20 February

Ways to acquire presentation skills

GMT 19:16 2017 Friday ,17 February

Aziz House ready to host the tourists

GMT 13:12 2015 Saturday ,09 May

Sheikh Sultan opens Sharjah Centre

GMT 12:39 2017 Monday ,20 February

newest smartphone another winner for Huawei

GMT 13:16 2017 Tuesday ,14 February

First fashion model with Down syndrome
Arab Today, arab today
Arab Today, arab today
 
 Arab Today Facebook,arab today facebook  Arab Today Twitter,arab today twitter Arab Today Rss,arab today rss  Arab Today Youtube,arab today youtube  Arab Today Youtube,arab today youtube
arabstoday arabstoday arabstoday arabstoday
arabstoday arabstoday arabstoday
arabstoday
بناية النخيل - رأس النبع _ خلف السفارة الفرنسية _بيروت - لبنان
arabstoday, Arabstoday, Arabstoday