Spain has a diversified modern financial system which is becoming increasingly integrated with international financial markets. The system comprises credit, stock and money markets.

The money market is subject to direct public-sector supervision (by the Bank of Spain), and is open both to banks and to financial investment and brokerage companies, with the result that the number of participating operators is very substantial. As far as the credit and stock markets are concerned, administrative involvement is confined almost exclusively to regulating the conditions for access by and permanence of regular operators and to monitoring the operations of financial enterprises, in accordance with the standard practice in economically developed countries.

The operators in the Spanish financial system can be classified as follows:

     1. The central issuing bank: Bank of Spain.
 
     2. Banks: 
        * State-owned banks
        * Spanish and foreign banks
        * Savings banks
        * Credit cooperatives-Rural savings banks
 
     3. Financial entities:
        * Sociedades de Credito Hipotecario
        * Leasing, factoring and installment sale finance         
          companies
        * Mortgage loan entities
 
     4. Investment institutions:
        * Group investment entities:
 
          - Marketable security investment companies:
            +Closed-capital entities
            +Open-capital entities
     
          - Investment funds:
            +Marketable securities 
            +Money Market assets
 
          - Pension plans and funds
 
          - Other
 
        * Venture capital funds and companies.
        * Other investment entities.
 
     5. Brokers:
        * Stock market: stockbroker companies and agencies.
        * Money market: money market mediating companies.
        * General: banks, security management and deposit         
          companies.
 
     6. Insurance and reinsurance companies.