Last updated: 14:38 / Monday, 16 September 2013
Plan presented in Peru

BBVA will Invest $2.5 Billion in South America by the End of 2016

BBVA will Invest $2.5 Billion in South America by the End of 2016

BBVA president and COO Angel Cano presented the bank’s strategic plan for South America, with investments totaling $2.5 billion over the next four years (2013-2016). “Our goal is to become the region’s top digital bank and the one most preferred by customers,” Mr. Cano said at BBVA's Economic Symposium on “Investing in South America” in Lima (Peru). “South America is of fundamental importance for the group’s development,” he added.

During his address BBVA’s president emphasized that South America is “a key element" of the group's strategy. For this reason it will continue to boost its presence in the region. “Therefore today we are launching a very ambitious investment plan covering the next four years,” he explained.

Mr. Cano pointed out that “emerging countries will contribute more than 60% of world growth in the next decade.” In this regard he emphasized that emerging economies will lead world growth and South America “will continue play an important role." Since 2007 the region’s growth has been nearly four times that of developed countries and according to expectations growth will double in the coming years. The Andes region (Chile, Colombia and Peru) will be one of the most dynamic.

“This is because these countries together with Mexico have formed the Pacific Alliance and have started a process to integrate trade and finance, and facilitate the movement of people”, he said. “This will certainly boost economic activity in the region.”

The 2013-2016 strategic plan: $2.5 billion in investment

 “Some 40% of this investment is earmarked for technology-related projects that will make BBVA the region’s leading digital bank. The remaining 60% will be spent on growth-related items that extend infrastructure and the distribution networks,” he added.

By 2016 it plans to double the number of internet customers to five million and multiply by eight those that bank via mobile devices.

Mr. Cano went on to explain the three basic areas of the strategic plan. “The first aspect entails segmented and specialized management, which aims to deepen customer understanding. We want to know their needs and the key to this is segmentation,” he said. “Secondly, we are going to extend our distribution network by increasing the branch network 18% and adding 30% more ATMs. We will also encourage digital channels because they will play a fundamental role in banking in the coming years. Lastly, we are going to continue the transformation process, speeding up processes and making them safer and more reliable by means of digitalization and automation."