After the devastating DANA is raining In the province of Valencia, many people have seen their homes, vehicles and possessions, including personal belongings and money, deteriorate. Given this situation, the Bank of Spain has launched a special service to help affected people recover cash damaged by DANA.
The procedure for exchange of notes and coins damaged is simple: if the money can be counted and recognized as legitimate, will be paid immediately. If it requires further examination, its authenticity will need to be verified. Furthermore, the Bank of Spain has agreed with the banks in the region that everyone can go to their offices or mobile points to exchange wasted money, whether they are customers or not. The Bank of Spain warns of possible scams and recommends that those affected only go to branches or credit institutions.
Here’s what to do with money damaged by DANA according to the Bank of Spain
The recent disaster caused by DANA damaged the species which many people kept at home to save money or to deal with emergencies, which caused great concern among the affected population.
Aware of this problem, the Bank of Spain has taken exceptional measures to facilitate the recovery of the money damaged by DANA. A special office has been created in Valencia, located at number 6 Barcas Street, which will be used exclusively for the reception of banknotes and coins damaged by DANA. Citizens will be able to come without an appointment during opening hours, Monday to Friday, from 8:30 a.m. to 2:00 p.m. In this space, cash will be valued and exchanged, provided that the notes and coins are identified as authentic.
For get an immediate refundcitizens will have to count their money and make sure it is legitimate. Subsequently, they will have to fill out a form with their personal information to receive the exchange of money under good conditions. Furthermore, the Bank of Spain signed an agreement with the banking entities of the affected area, which allows residents to carry out the exchange process at bank offices, even if they are not customers of these entities.
The Bank of Spain also warned against risk of scamrecommending that the population avoid using house exchange services. They must go to the Valencia branch or bank offices to avoid fraud.
Economic impact of the tragedy
On the other hand, the Bank of Spain presented a preliminary assessment of the economic impact caused by DANA in the country. The report forecasts a slight decline in economic growth this year, estimating a loss of up to two-tenths over the course of the year. Gross domestic product (GDP)which would be equivalent to around 3,000 million euros. However, the authorities are optimistic about the recovery, which should be rapid and have a limited and transitory impact.
José Luis Escriva, governor of the Bank of Spainpointed out at an event organized by the Association of Economic Information Journalists (APIE) that although the disaster could affect consumer prices in the long term, the impact on the economy will be relatively minor. The institution has launched a specialized working group which is monitoring the evolution of the damage in order to obtain a more precise image of the extent of the tragedy. To estimate the consequences, we used an economic tool inspired by the analysis of Hurricane Katrina, adapted to the Spanish reality.
Despite the destruction in affected areasan initial assessment suggests that the effects on production capacity may not be as severe as previously thought. The main concern is the housing stock, but according to preliminary data the impact on this sector does not appear to have been as severe. Escriva predicts that, although the recovery will not be immediate, a considerable recovery will be achieved in the coming quarters.
The area affected by DANA, which covers approximately 78 municipalitiesrepresents approximately 2% of the national economy, with a notable weight in the industrial sector, which concentrates 3% of industrial buildings and 3.6% of the country’s employment. Despite this damage, the Bank of Spain estimates that GDP growth will not be radically changed and growth projections are expected to remain close to 3% this year, one of the largest increases among advanced economies.
In addition, the Bank of Spain reported the mortgage payment deferral requestswhich amount to more than 7,500, and noted that the financial exposure to DANA is 20,584 million euros. Despite the scale of the disaster, the governor reassured the population that there was no reason to worry about the stability of the financial system.
