BBVA will invest $5.2 billion in Mexico by 2030 - A signal!

BBVA will invest $5.2 billion in Mexico by 2030 - A signal!

BBVA, a leading Spanish banking group, announced on May 27, 2025 its plans to invest over 100 billion Mexican pesos, equivalent to approximately $5.2 billion, in Mexico by 2030. This announcement was made in an official release and is intended to promote the expansion and strengthening of the bank in the emerging market. The exchange rate is currently 1 US dollar = 19.2575 Mexican pesos, which illustrates the dimension of the investments.

The BBVA Group operates in three main areas: retail banking, investment and market banking, and private banking and wealth management. By the end of 2024, the group managed an impressive €468.6 billion in deposits and €429.6 billion in loans. Its products and services are offered through an extensive network of 5,749 branches worldwide, giving it the ability to serve a wide customer base.

Acquisition of Banco Sabadell

Parallel to the investment plans, BBVA faces a significant challenge: the Spanish government is currently examining a merger proposal from BBVA for Banco Sabadell. This merger proposal was presented to the Cabinet of the Spanish Minister of Economy, who points out the impact of the merger on the banking landscape. BBVA plans to cut up to 2,500 jobs as part of this acquisition, raising concerns about job security.

The takeover of Banco Sabadell is being intensively discussed in the financial world. BBVA has stressed that the government does not need to further examine the offer, while Sabadell has said it does not expect an alternative offer. The market reacted to these developments, which is reflected in a current share price of EUR 13.54 (+0.82% after-hours).

Market development and outlook

The plans to invest in Mexico come at a time when Spain's economy minister is also planning new 10-year government bonds to strengthen the country's financing base. Despite a decline in the IBEX 35 due to concerns over the US fiscal forecast, BBVA remains optimistic about the positive impact of its investments in Mexico as well as the possible merger.

In summary, BBVA is actively working to expand in Mexico and pursue significant structural changes, while keeping an eye on the market and regulatory challenges. The coming years will be crucial in consolidating the bank's strategy and growth.