Spain gave investors a huge boost this week by doubling the guaranteed minimum of 50,000 Euros per deposit, as required by the European Union.

It will come as a relief to everyone with savings here in Tenerife – and the whole of Spain – in view of the “credit crunch” horrors of the past few weeks.

Alongside this good news, the Central Government announced a 30,000-billion-euro fund from the Treasury to “support the funding of the credit system”, describing it as a “great temporary loan” to uphold the trust of citizens.

Prime Minister José Luis Rodríguez Zapatero announced last week that the minimum guarantee on deposits would rise from the current 20,000 Euros to 100,000 Euros per head. Read more