Good morning, and welcome everyone to BBVA First Quarter 2022 Results Presentation. Thank you very much for your interest. I'm joined today by Onur Genç, BBVA's Chief Executive Officer, and Rafael Salinas, Group's Chief Financial Officer. As in previous quarters, Onur will start reviewing the group figures, followed by Rafa, who will go through the business areas results. We will move straight to the live Q&A session. Now, I will turn it over to Onur. Thank you, Patricia. Good morning to everyone. Welcome, and thank you for joining BBVA's first quarter 2022 results audio webcast. Let's jump into it. Starting with slide number 3, outstanding evolution in our view of our results this quarter. On the left-hand side of the slide, you can see our net attributable profit evolution, the highest quarterly recurrent profits ever, reaching EUR 1,651 million. This is 60% above the results of the same quarter of last year and 23% higher than the results of the fourth quarter of 2021. You will be seeing one of the highlights of this quarter is the fact that this is across the board. We are seeing a positive evolution in all business units. Our earnings per share at the bottom of the page on the right and the left-hand side, these excellent results, they bring our earnings per share up to EUR 0.24. Let me note also on this page that, on the right-hand side of the slide, our strong capital ratio at 12.70%, well above our target range, as you all know, and well above our regulatory requirements. It has decreased five basis points in the quarter, absorbing 10 basis points from the stake increase in Neon in Brazil, and also considering the very strong quarterly loan growth of 4%, as we will be discussing in the next slides. Just one quick note on this, for comparison purposes, the figures 2021 first half in terms of comparison, it excludes non-recurring impacts, more specifically the US business sold to PNC and also the restructuring program in Spain. Moving now to page number four, our tangible book value per share plus dividends closed at EUR 6.93, a 12.6% increase YoY and 4.1% in the quarter. Regarding profitability, we have strongly improved on our profitability metrics, reaching, in my view, an excellent 15.1% in ROE and 15.9% in return on tangible equity, ranking first in both metrics as far as we can see among our European peers. If you compare their year-end results, this is the best in Europe. Slide number five, what stands out in terms of the key messages for the first quarter. Very quickly, first, in my view, the highlight, excellent core revenue evolution, 23.3% versus the first quarter of last year, supported by very strong loan growth in all countries and in all segments. 10.6% activity growth, loan balance growth at the group level versus the same period last year. Second, our leading efficiency metric significantly improving to 40.7% with positive jaws, again, at the group level and across the board in all the countries. Third, we are also reporting the highest operating income in our history, growing an impressive 31.9% versus the first quarter of last year. Fourth, cost of risk evolving better than expectations at 82 basis points. Fifth, as mentioned, our strong capital position. Last, the outstanding progress in key areas of our strategy, reaching new record figures here as well, with 2.4 million customers acquired in just one quarter and EUR 11 billion channeled in sustainable finance. Given all this, we are on the right path, in our view, to achieve the ambitious, long-term targets that we set for ourselves and we announced back in November in our Investor Day. Moving to slide number six. I'm not gonna dwell too much on this page, but you see the summarized P&L here. Focusing on the YoY comparison with the first quarter of last year, the second column from the left, you can clearly identify the very positive evolution in all the P&L lines. I would highlight again the outstanding 31.9% increase in operating income, which coupled with the positive performance of the underlying risk parameters, it leads to an excellent net attributable profit. In constant euros, 68% growth in profits. In terms of the quarterly evolution versus the fourth quarter of 2021, the second column from the right, also an excellent performance with operating income growing 25%. All in all, first quarter 2022 reported net attributable profit, just to repeat, EUR 1,651 million at the bottom. Moving to the next page, slide number seven, sheds some light on the quarterly revenues breakdown. Once again, one of the clear highlights of the quarter. Our net interest income increased strongly, 26.3% versus last year and 6.9% compared to last quarter, especially boosted by the strong activity growth, which we will be discussing in a second. Next, the positive evolution of net fees and commissions. There is some seasonality here, but still very positive evolution across the board, increasing 14.1% year-on-year and almost aligned with last quarter's record figure. It was the record figure last quarter. Also, excellent performance of the net trading income in the quarter, growing 46.3%, a figure even higher than the exceptional quarter that we had a year ago. All in all, again, very strong performance in gross income, 21.3% growth versus the same period last year, and double-digit growth, 11% versus last quarter. Slide number eight. I mentioned this very briefly verbally before, but this page, it illustrates how the continued new loan production recovery. How it is translating into strong loan balance growth across all the countries of our footprint, and also in all the segments, both retail and wholesale. In total, activity growth has been accelerating QoQ, reaching a 10.6% growth versus the same period last year, with very positive implications, obviously, in NII, in fee income, and with very positive implications also going forward. We will be benefiting from this in the coming quarters. In the country pages, one of the clear highlights also is that you will also see that this growth is concentrated in the most profitable, highest return segments. Again, we'll talk about them when we talk about the countries. Slide number nine, a forward-looking perspective also on margins. Very positive news here as well. As you can see on the left-hand side of the page, we have witnessed, as you all know, a sizable increase in our main reference rates with the EURIBOR reaching positive levels and the TIIE 28 in Mexico, very important for us as well, increasing by more than 100 basis points year to date. The right-hand side, it illustrates the very positive implications of this new environment with the percentage impact on NII. This is calculated in this, in the sense that in the following 12 months after a step function, 100 basis points increase, what happens? As you can see, very positive implications on the NII due to these rate rises. Slide number 10, we continue showing positive jaws this quarter, again, not only at the group level, but also across the board in all the geographies, obviously, thanks to our strong gross income growth and also with costs growing below the blended inflation of our footprint. In the middle of the page, you can see how our efficiency ratio is evolving. Already the best compared with our European peers at the end of 2021, and it now has improved even further to 40.7%. Again, this figure is the best figure over the past 10 years for us as well, independent of the benchmarking. Slide number 11, risk indicators. They are evolving better than expectations. Good performance of total impairments in the quarter, mainly explained by the underlying very positive evolution of the underlying risk performance, lower NPL entries, and higher recoveries. Cost of risk closes at 82 basis points, compares positively with the 93 basis points recorded in 2021. Under this heading, I would highlight that regarding the Russia-Ukraine war, our direct exposure to Russia and Ukraine is very limited and immaterial, but obviously, we will be monitoring closely all the indirect impacts, especially through the commodity prices, through the confidence chain and everything. In this uncertain environment, though, we still maintain our 2022 cost of risk guidance of around 100 basis points. In terms of the rest of the asset quality indicators, very positive, very positive picture there as well. NPL is decreasing to 3.9%, and our coverage ratio improving to 76%. On capital, our CET1 fully loaded as of March 12, 2022, stands at 12.70. 12.70 on slide 12. On a quarterly basis, the ratio has slightly decreased by 5 basis points, but we have absorbed the capital consumption associated with our investment in the Brazilian Neon, the 10 basis points. The waterfall, if I go through the details, the breakdown of the change. First, our results generation, that contributes 52 basis points to the ratio. Second, the dividend accrual at 50% payout. There is a change here, as compared to last year, as you can imagine, because we have improved our payout ratio. According to the ECB mechanism, which you have to be taking the upper part of our internal policy to be adjusted with the final payout at the end of the year, obviously. We are taking 50% payout here in this calculation, and coupled with the AT1 coupon payments, they are detracting 29 basis points. Third, in the waterfall, 17 basis points from the RWAs bucket in the context of the strong credit dynamism, as we discussed before. Let me note here that approximately, 25 basis points are coming from activity increase. This has been partially offset by the release of the impact from the market risk-related RWA increase we experienced in the fourth quarter of 2021 as a consequence of the volatility increase in Turkey, something that we have already anticipated and talked to you about in the last quarterly presentation. 17 basis points from RWAs. Lastly, the bucket of others of 1 basis points, which includes seven basis points market-related impacts, mainly due to the mark-to-market of held-to-collect-and-sell portfolios, almost compensated by the minority interests. Slide number 13, new customer acquisition. I always love this page. The most healthy way, in our view, of growing our balance sheet is through growing our franchise. I'm very happy to see that we continue to beat new records each quarter on this. Our relentless focus on franchise growth has allowed us to acquire 2.4 million new clients in the first quarter. The share of those acquired through digital channels, which we believe is a competitive advantage for BBVA, is also consistently increasing. As you can see in the graph, we have increased the digital acquisition percentage from 6% in the first quarter 2017 to a noteworthy 57% in the first quarter of 2022. Slide number 14. As we have mentioned on multiple occasions, we have discussed this in our Investor Day. As part of our strategy, we are investing in innovation and disruption as enablers for our growth. On the one hand side, if you're looking to the left-hand side of the page, entering new and attractive markets through digital. Through digital is important to us. Our investments in the UK, in Europe, our last investment in Brazil, as we just discussed, together with our organic initiatives, like in Italy, it forms a component of this strategy. We are also investing in disruption through venture capital. We have been very successful in this with Propel and Sinovation, and now we are extending our scope beyond fintech to other strategic verticals such as decarbonization, high growth companies in footprint, and DeFi digital assets. We believe that these investments, they bring better capabilities to the group and they create strategic value beyond the pure financial investment. Turning to slide number 15, we continue to outpace our sustainable financing pledge path. We have already mobilized EUR 97 billion in sustainable financing as part of our revised pledge of EUR 200 billion to be achieved by 2025. In this first quarter only, EUR 11 billion, and again, an all-time record here as well. On the right-hand side of the slide, you can also see how sustainability is a key growth lever, a business lever that we are already pulling, for example, through the sustainability linked products. In the sense, just in one year, we have increased mobility financing by 2.5x and energy efficiency financing by 4x. Finally, slide number 16 on our long-term targets announced in the investor day. To save time, I'm not gonna go into each one of them, but I can say that we are very well-positioned to achieve them all, as you can see on this slide number 16. Now for the business areas update. Rafa? Thank you, Onur, and good morning, everyone. This quarter we are glad to share with you very good results in all geographies. Strong growth in activity, accelerating customer acquisition, and growing results thanks to the effort of our teams across the board. Very positive trends above our expectation, reaching record results in Spain and Mexico led us to a positive guidance review in both countries, and we will see in the following slides. Number 19. Let me begin with Spain. In Spain, we have witnessed a quarter with very positive business dynamics combined with an efficient management of the customer spread. The loan book is growing at 3.4% year-on-year, an encouraging signal after a long period of deleverage in this country. We continue focusing on the most profitable segments. Consumer lending portfolio is again delivering an almost double-digit growth, 9.6% year-on-year. We are also seeing very good performance in commercial segments, despite the typical seasonality of the first quarter. In those two segments, consumer and commercial, we continue gaining market share. Digital capabilities together with evolution of the SME business model are probably behind the good performance. In mortgages, new production remains very dynamic, almost offsetting the run-off of the portfolio. This makes us confident with our guidance for 2022 of a slight loan growth in Spain with consumer lending continuing to grow at high single digits. In line with activity, the profit and loss account evolved very nicely. NII is almost flat in the year, affected by the downward repricing of the variable of 2021. However, regarding the heading, I like to highlight the improvement in forward-looking expectation. The increase in rates will be a tailwind for NII, something that we will start seeing in the third quarter. In this sense, we have updated our NII guidance for 2022 to a slight growth, more than compensating the negative impact from the TLTRO. For 2023, the perspectives are even better. Also, very sound fee income, despite asset management fees being impacted in the first quarter from negative market evolution. In addition to revenues, expenses are also progressing very positively, minus 5.6% year on year, fully in line with our expectations, benefiting from savings arising from last year restructuring process. Therefore, we can see widening jaws and a significant improvement in the efficiency ratio this quarter, reaching 42.9%, a very sound figure. We maintain our guidance for 2022. Expenses are expected to decrease at mid-single-digit with efficiency improving aligned with our long-term target. Finally, when we look at the impairments line, positive underlying trends in asset quality are enabling us to show a cost of risk of 17 basis points in the quarter. For 2022, we maintain our guidance of cost of risk around 30 basis points, awaiting for some more visibility in a still quite uncertain economic environment. All in all, record profits in Spain reaches EUR 600 million, a level we haven't seen since 2010, and which represent 32% of the group total earnings. Our conclusion, very pleased with progress in Spain. Slide 20, move to Mexico. One additional quarter, very strong set of results in Mexico. We are seeing dynamism in activity and sound loan growth across all segments. The loan book is growing at 8.9% on a year-on-year basis. I'd like to remark on the outstanding performance in the quarter in consumer lending, supported by our strong position in payroll loans. Additionally, our growth strategy in SMEs is clearly paying off. Plus 20% year-on-year growth in the portfolio. A differential value proposition with specialized sales force teams and have a great app are probably the main pillars of the strategy. Finally, wholesale portfolios are continuing to recover, showing growth at 0.42% on the quarterly basis. These trends have led us to improve our guidance. For 2022, we now expect the loan portfolio in Mexico to grow at high single digits. Moving to the P&L, net profit reaches record level EUR 777 million, supported by a strong core revenue growth close to 20%. Net interest income growing at 20% year-on-year, driven by activity growth and by the improvement on the customer spreads. Based on those dynamics, we have reviewed upwards our guidance for 2022. We are now expecting NII to grow at double digits. Also, strong performance in fee income, growing at 14% year-on-year and 6% on a quarterly basis. This is mainly explained by the recovery of activity, especially in credit cards and payment business, where, as you all know, our market share is very high, above 30%. Expenses grew at 12.9% year-on-year, below gross income growth due to some base effects as activity was still slow due in the first part of 2021, and also impact coming from inflationary pressures. That said, jaws are very positive in Mexico, where we are currently operating an outstanding 33.7% cost to income ratio. Looking ahead, we maintain our guidance for expenses to grow at mid-single digits with positive jaws. In terms of asset quality, the NPL ratio dropped below 3% in the quarter, supported by good underlying trends, low entries, and very sound level of recoveries. The cost of risk stands at 284 basis points, in line with our guidance that remains in place. For 2022, we expect the cost of risk to stand below 300 basis points. Slide number 21, focusing now on Turkey. As you all know, we are currently involved in the voluntary takeover bid process over Garanti minority interest. We have recently announced on Monday an increase in the takeover bid price to TRY 15 per share. As of today, we have reached 60% ownership, breaching the 50% threshold, which provide us with further optionality on managing our stake. Moving to the P&L, as you can see in the slide, quarterly results are very strong in Turkey. Main highlights are the following. NII evolution is supported by Turkish lira loan growth in all segments, customer spread improvement, and a higher contribution from CPI-linked portfolio. In fees, excellent performance favored by our leadership in payments and credit cards. Also, very positive net trading income in the quarter with a strong result coming from our global market unit. Expenses affected by a salary revision and inflationary pressures. Having said that, efficiency remains at very good levels, improving almost 10 percentage points to 22.4% in the first quarter of 2022, thanks to our strong revenues. Finally, sound credit risk metrics with the cost of risk at 100 basis points in the first quarter, supported by limited underlying provision needs. All in, we are achieving in Turkey net profits of EUR 249 million in the quarter. Finally, slide 22, South America. This region is also showing very positive trends in terms of activity and results contribution. Briefly, main highlights are the following. First, healthy loans growth across segments and countries, 11% average in the region year-on-year. Second, very strong core revenue supported again by activity dynamics, strict pricing policies, and efficient excess liquidity management in a higher rate environment. Third, expenses are growing in a context of increasing inflation. However, the efficiency improves in the region, supported by gross income growth, showing positive jaws year-on-year. Finally, contained impairments are also supportive for the P&L, showing off healthy underlying trends in asset quality with the cost of risk standing at 117 basis points. As a whole, net income reaches EUR 158 million in the region. In short, outstanding results in all our franchise levered on higher activity, more customers, core revenue growth, together with a very positive trends on the asset quality. Now back to Onur, who is going to highlight the main takeaways. I mean, you already summarized it very well, Rafa, but very quickly, the last page. We have reported the highest quarterly results ever, driven by strong operating income and solid underlying risk performance. It's also noteworthy once again to highlight the strong acceleration of activity growth, profitable activity growth. Second, we have improved our 2022 guidance in Spain and Mexico, as Rafa has mentioned in his speech, in the light of better than expected operating trends in the revenue lines, which is very positive in my view. Third, we continue with our commitment to accelerate profitable growth and value creation for our stakeholders. Our tangible book value per share plus dividends growing at double digits, and we are achieving the highest profitability metrics among our European peers. Fourth, we have made significant progress in the execution of our strategy, reaching record figures in sustainable finance and in customer acquisition, and investing in disruption as part of our growth strategy. Finally, and lastly, we are on track to achieve our ambitious midterm goals. With this, we are also achieving another metric of ours, Rafa, to finish this, our speech in less than half an hour, so back to Patricia for the Q&A. Thank you, Onur. We are ready now to move to the Q&A live session. The first question, please. Of course. I will take our first question from Andrea Filtri of Mediobanca. Andrea, over to you. While you're posting very strong results, we're having a potential change in the macro scenario with high inflation and high energy prices at steady levels. What would you need to see on this front in your view to be forced to revise your growth prospects in a meaningful way? If you could elaborate, please, on the positive one-offs in Spanish provisions and how you plan to use remaining COVID overlay provisions, how does that work? Finally, just a quick update on the Turkish CPI linkers, where are they and are you expecting Turkey to be a hyperinflation accounting country by this year? Thank you. Perfect, Andrea. Maybe on the CPI linkers, I already have the numbers in front of me, but maybe you comment on that on how much the contribution was, Rafa. Very quickly, the growth prospects in this high inflation, high inflation environment, the growth prospects are quite positive. I mean, you see it in the country pages, Andrea. If you go to the country pages, you see the breakdown of the growth, year-over-year growth. We are seeing that growth, and we have not seen that timidity sinking into the markets yet in terms of some caution in terms of loans and so on. On that one, I would highlight a few numbers. For example, Mexico, one of our very important portfolios for us in terms of size, maybe it's small, but in terms of contribution it's very important. Mexican credit card business, we are growing 17.6% YoY. 17.6%. Another geography, Spain. Consumers, if you look into the consumer portfolio, it's growing 9.6% in Spain. We are growing. In this new environment, we have to be a bit cautious, obviously, and we have to be monitoring the situation very closely. If you grow, as we said in the presentation, with new customers, with growing the franchise, it's a healthy growth in our view. We are also obviously monitoring the risk parameters very closely, and we are not seeing any deterioration whatsoever in the risk parameters at the moment. To cut a long story short, I think in the portfolios that we want to grow, my humble message is this: we are growing very nicely, and we are doing that with new customers by growing the franchise. As such, in the coming months, I expect that growth to continue. That's why, for example, in Mexico, we have upgraded our loan growth guidance and our NII guidance in both. Spanish provisions, was there a one-off and so on, and how do we evaluate this? In the number that we have this quarter, there is not a one-off at all. The 17 basis points that you are seeing is there because the underlying risk parameters is behaving much better than what we have been guiding you with. 17 basis points in the quarter. When you look into it, lower NPL entries and better recoveries, and that we like. But we will see on how the next quarters come along. I mean, as you said, there is big uncertainty out there. We want to be cautious. That's why we are not revising our cost of risk guidance yet. There are these ICO loans, as you know, the state-guaranteed loans in Spain. We have to look into the evolution of those loans in the coming quarters. As you know, we are a very conservative bank on these things. We are maintaining our guidance as it is, but we are seeing very positive dynamics in the underlying risk parameters. Actually, after this Russia-Ukraine war situation, we were expecting that there could be some releases from our models. On the contrary, in this quarter, we have actually put more into the micro adjustments. We have not only not released, but we have added to our buffer for prudential reasons. In that context, our numbers coming as such, in my view is very positive. On the CPI linkers, I will talk about hyperinflation maybe. Rafa? On CPI linkers, I mean, the size of the portfolio in Turkey is TRY 40 billion, around EUR 2.5 billion. The contribution this quarter has been EUR 218 million, TRY 60 billion more than in the last quarter of 2021. And we are accruing those bonds at 40% inflation rate. Regarding the hyperinflation in Turkey, as you know, the inflation in Turkey has increased recently. The latest print, as you all know, I'm sure, as of March is 61% inflation rate, and the war situation in Ukraine obviously adds to the uncertainty. It increases pressures on food and energy, especially relevant for Turkey. As a result, the inflation has increased recently, and the expectation is it will remain high for some time. In this scenario, it is very likely that we will be applying hyperinflation accounting as early as the second quarter of 2022. It is very early to determine the potential initial impact. The number is a very dynamic number. Obviously, it depends on the inflation evolution, but it also depends on the evolution of different balance sheet items. 'Cause you apply an inflation on the net monetary position, as we say, and that is a dynamic figure that has to be changing in the coming. We are gonna be spending the second quarter to see the moving parts and hopefully come up with a number so we can guide you in the next quarterly call. In the countries that we have experienced this, and as you know, we have two countries where we apply already as BBVA hyperinflationary accounting, what we typically see is this. You see a positive, actually a positive impact on capital and tangible book value coming from the reevaluation of the non-monetary assets. A positive impact on capital and tangible book value, and a very limited contribution in the first year of implementation of hyperinflationary accounting, very limited contribution of that geography to the group P&L in the first year. That's what we have seen in other geographies. As I said, it's a very dynamic figure. We have to be watching the situation and how and whether it will be applied in the second quarter. Our expectation is that it might be applied, again, as early as the second quarter. We are in this process of understanding, and there are accounting authorities involved in this decision. We will see how it comes out. Once again, I will say that a positive impact on capital and tangible book value if it's applied and when it's applied, and limited contribution for the first year of implementation in the P&L. It's a bit of a re-expression of financial statements. The value of the franchise is still accounted, is still there in capital and tangible book value, but the P&L numbers might show a different picture, obviously. Thank you very much. Thank you. Sorry, just on the release, you said you have added to macro overlays. How much? It's around EUR 200 million for the group. Thank you. To be precise, 190. 190, to be precise, as Rafa says. Thank you. Next question, please. We'll take our next question from Maksym Mishyn of JB Capital Markets. Maksym, over to you. Good morning. Thank you for the presentation and taking our questions. I have two. The first one is on Spain, and I was wondering if you could explain the growth in corporate loan segment. You've done better than the sector, and I was wondering what's the reason for this. Also just a small follow-up on ICO loans. Do you already have any of the grace period ICO loans maturing, and what are the trends you see there? The second is on capital. If we assume a full take-up of Garanti minorities in the tender offer, you will still have close to 35 basis points of excess over the higher end of the range. How could we think of potential deployment? Could you please update us on headwinds for 2022 that you expect for capital? Thank you. Okay. So corporate loans in Spain growing better than others, that's what you mean? I had some trouble in the line, but if that's the question, corporate loans, we are, in our view, gaining market share and growing very nicely. As you might have seen in the presentation, 13.9% growth in commercial loans. We love this figure. 14% growth in Spain is, in my view, an impressive figure. You're saying, why is it happening? I tend to believe that we are working harder in general. We do have this opportunity of certain clients that we didn't have a wallet share. We did come up with this program, very detailed and very targeted program of different names, because this is a commercial segment. You can come one by one, name by name on what you want to achieve with each client and so on. We did come up with that program about a year ago, and since then, we have been executing on that program of which clients that we wanted to grow, and we have actually processed early on our risk appetite for those clients. With that revised new risk appetite, we went after very good clients that we wanted to bank more with, and I think we are seeing the results in the numbers that you see, the 13.9%. The ICO loans, what do we see in terms of dynamics? You might remember this, I shared it in the previous quarterly calls. Our total ICO extension of credit, including lines that might not be used, was around EUR 21 billion. Around EUR 13 billion was the number that was used from those lines that we granted, because not all of them turned into balance sheet lending. From that EUR 13 billion, most of them are basically returned to regular process and everything. The thing that we see on that portfolio that are still in this category of what we call carencia period, which is the non-payment period, is around EUR 4 billion-EUR 5 billion in that range. In that portfolio that we watch very, very closely, Matt, we are seeing very positive dynamics there as well. We are seeing those clients coming back to life after COVID, and we are seeing their revenues performing very well. We don't see major risks in that portfolio. There were two tests done on that portfolio, basically. One over the summer. In the summer, basically, there was this Código de Buenas Prácticas, a new code to be able to help those clients. They were given an opportunity to ask for basically revisions in the loan details, participative loans, or even what we call, principal deductions. They had that right to ask for this. In that period of summer, basically nobody asked for it, which was a great signal that what we were seeing in the numbers is true. We didn't see a pressure on that portfolio because nobody did ask for this additional, kind of flexibilization of the loan terms. There is another new, flexibility given by the government to that portfolio, basically a month ago, which is they can ask for additional extension for the non-payment period. They can ask for an additional six months. In that new change that the flexibility that the government has extended to these clients, we are again seeing very limited demand to basically go beyond the original terms of those loans and ask for additional flexibility. To cut a long story short. That portfolio is something that we have been managing, monitoring very, very closely. So far, the signals are positive. So far, we are not seeing any pressure of cost or risk in that portfolio. You asked about the 34 basis points after if the 100% take-up is happening in Turkey, 34 basis point, we still have excess 36 basis points. What do we do with it? The same answer that I give every quarter. We do see capital as our scarce resource. There are many initiatives who compete for that scarce resource. It can be an M&A, it can be growth in your existing geographies. Every single loan that you give, it consumes capital. It can be payout back to the shareholders. There are different initiatives, and all these initiatives, they are stack ranked. They are compared based on the value that they create for the shareholders. If we can come up with great initiatives who deliver great returns, we do them. If not, our reference is the additional share buyback, additional dividend that we might be doing, which again is a return back to the shareholder. We compare all of them on the return that they generate, and we go from there. I will repeat the same principle. This quarter or any other quarter, we will look into all the initiatives, compare them, whichever creates the best return will get that capital. You're asking 2022 additional headwinds or additional forecasts on capital. On that one, the thing that I would highlight is the supervisory impact, the regulatory impact that we might be seeing, especially in the second quarter or in the rest of 2022. You might remember this. We did guide you in the last quarterly presentation that we might be receiving 35 basis points from supervisory impacts this year. It's called return to compliance. This EBA guidelines return to compliance program, every single bank out there is dealing with it these days. It's very tough to make it precise, these numbers, because there are too many moving parts in the calculations. It's a process. We are in it. The final numbers that I'm seeing, it's gonna be somewhat higher than 35 basis points. What we are also seeing is that some of the impact in the Basel IV in 2025 is not a lot, but a piece of this is anticipated to this programs of return to compliance and so on. In that context, we will keep updating you that 35 basis points might turn out to be a bit higher, but that's the supervisory headwind that we would be seeing. As I also guided you in the previous calls, we are expecting EUR 1-1.5 billion organic capital generation every year. The results are coming much better than that curve, but that EUR 1-1.5 billion, excluding M&A and excluding supervisory impacts, because you cannot judge them, you cannot know them. We are on a path of delivering a bit better maybe from that typical curve of EUR 1-1.5 billion organic capital generation in the year and in the coming years, hopefully. Thank you, Max. Next question, please. Of course. Our next question is from Alvaro Serrano of Morgan Stanley. Alvaro, over to you. Thanks. Good morning. Thanks for taking my questions. I've got two questions on some of the comments on the call. First one in Mexico, obviously a very strong performance and a sort of blowout sort of NII and fees. With that performance, the question is around the updated guidance. You're guiding to double-digit NII growth, which, I mean, you've basically achieved that in Q1 already. If I sort of annualize Q1, I think it's annualizing, sorry for mix up my Excels, but clearly stronger than that, if I just multiply the Q1 by four, I get to +15%, I think it is. Just wondering what you mean by double digit, and is there one-offs and what the sequential performance might be in Mexico. The second point is on Turkey. Onur, you mentioned in the outer years, the impact would be lower of high hyperinflation impact. I'm just curious to understand, is that because inflation typically comes down or is there anything mechanical? Because obviously this is, as I'm sure you're aware, one of the sort of things that sort of putting off investors the potential for added volatility in the P&L. If it's gonna come down in outer years, I think it's important to understand it. Thank you. Very good. Alvaro, thanks for the questions. On the double digit, I leave it to your imagination on what that double digit means. I mean, we take this guidance document obviously as always, as others, very seriously. As you say, I'm seeing very positive dynamics in Mexico, very positive dynamics. I mean, the growth that you have seen in that page of Mexico, again, 17.6% credit cards, 8.5% in consumer, 19.7% in SMEs. These are very good return, high return portfolios. We are gonna see the benefit of this in the coming quarters. We have not seen it yet in the first quarter numbers. We are seeing a piece of it, which is very positive. In my view, more good news to come. That's why we are upgrading our guidance. Double digit, again, I leave it to you. You did a very, in my view, a sensible calculation in the call. I mean, I leave it to you, but double digit is what we are committing to. Regarding Turkey, when I said the P&L dynamics are also quite positive in Turkey. There is no. Maybe I misguided you. I didn't mean it in that way. What I was saying was, if we apply hyperinflationary accounting, and as I mentioned before, this can come as early as the second quarter, so we are again, the accounting authorities has to be a bit involved in this. It's our decision also, but we have to see what's going on. If we apply it, in that scenario, the dynamics of the accounts change a bit. As you know, we are applying hyperinflationary accounting already in two countries of our footprint. What typically happens is you get a positive impact on capital and a positive impact on tangible book value, but you do re-express the P&L. The P&L, again, in the first year of the implementations that we did in those two countries, you typically see a relatively minimal contribution from that unit respective country to the group P&L. It's a re-expression, and it's, I don't want to call it that way, but it's a bit aesthetic in that sense. Meaning the value is still there, capital contribution is still there, but on the P&L, you might show a lower figure than otherwise what you would have been doing without hyperinflationary accounting. What would that mean? We will have to see it. There are again too many moving parts on this one also. We have to see whether it will be applied, when it will be applied. We would have to see the evolution of the balance sheet, because it's calculated on the balance sheet components. With all that included, then we will see the impact, and we will update you obviously in the coming quarters on what it means. If it's a bit of an aesthetic thing on P&L with basically positive impact actually on capital and tangible book value, as you know, we do have this payout ratio of 40%-50%. Obviously it's the board's decision on what to do with the payout. But depending on the P&L dynamics, there is that possibility of a different payout within the range that we have already expressed. So when you said, I guided worse figures for the coming years for Turkey, I didn't mean that. But I, what I was trying to say is that with hyperinflationary accounting, the dynamics of the accounts change a bit, and as a result of that, there might be a reduction. Otherwise, the underlying fundamentals of that business, in our view, is very robust. Thank you, Álvaro. Next question, please. We'll be taking our next question from Ignacio Ulargui of BNP Paribas. Ignacio, over to you. Thank you. Good morning. Thanks for taking my questions and for the presentation. I just have two questions. I mean, one is on Mexico, coming back a bit on the success of the bank in these high-earning portfolios like credit cards, SMEs or consumer. I mean, is there a limit there for you to gain market share? And then there's, every time we see Mexico over-delivering. So do you see any kind of limit in that context? And linked to that, my second question is, I mean, don't you see, I mean, is there any potential restriction for growth out of Mexico? I mean, could capital be a constraint for growth in Mexico, South America, or Turkey at a given point, or you don't see that as a reality? Thank you. I will start right away with the second one. Could there be a constraint due to capital on growth in Mexico? No, not at all. Ignacio, as you know, all of these growths that we do, I did mention it to you in the previous calls, we do have this micro capital planning approach. Every single loan that we extend in any segment, in corporate and in commercial, we do it client by client. In the rest, we do it portfolio by portfolio. They have to pass a certain threshold for pricing to be creating organic capital, which means if you are growing in those portfolios, it means that in the future, you will be creating enough more organic capital than justified so that you can finance that growth organically. In that context, given these portfolios are high return portfolios, I can very clearly tell you that they will create their own capital in any case, and we will always find capital for them. In the context that we are in, I don't see that scenario at all. Is there a limit to growth in Mexico? Not at all. I did mention it to you again multiple times to some of you before. We do have an amazing franchise, in my view, in Mexico. Amazing franchise. When I go there, and I was there very recently, I come back always impressed. The amount of talent that we have, the quality of talent, the franchise that we have built is amazing. In that context, the topic of Mexico is not market share growth and this and that. The topic of Mexico is how banks can help the growth of the country and how banks can help the bankerization of the country. Banking debt over GDP is 29% in Mexico. It's the lowest in Latin America. It's 70% in Brazil, that same number. It's 55% in Colombia. It's even higher in Guatemala. It should be that us and others, we should be all growing our books, and we should be bankerizing the country. That's a better way to grow Mexico than otherwise. Then market share, within the, beyond the market growth, would we be constrained by market share? I don't see that at all. I mean, we are doing an amazing job. Our NPS customer satisfaction is around 60s in Mexico. The second best is around 30s. If customer is happy, if we have this wonderful franchise, if the country needs to bankerize, I don't see any limit to overall growth and to our growth within that, because we are having our customers happy. Thank you, Ignacio. Next question, please. Our next question comes from the line of Benjamin Toms of RBC. Benjamin, over to you. Morning, both. Thank you for taking my questions. Firstly, on Spain, you announced earlier this month the buying back of your Spanish branches. Can you just talk through some of the benefits this gives you straight away once transaction completes, but also any longer term strategic advantages you might expect to be realized, from this? Just on Mexico, again, is part of the story on the loan growth in the country, the fact that you're winning more market share in the region as a result of the Citibanamex situation. Can you give some more color on any potential interest in that asset? Thank you. Benjamin, again, there's a problem with the line. The first question I think is was around the share buyback, I understand. On that one, Rafa, I leave it to you on the- No, I think it was about the. It was not. transaction with Merlin. It was on the branch buyback. Sale and leaseback. Okay. The question, sorry, Benjamin, is? Just longer term strategic advantages that gives you over and above what you've already announced as the day one benefits. Strategic benefits in general in the future. First of all, that's a positive NPV project. As I mentioned just a moment ago, we look into the value creation. If it's a positive NPV project, we execute on those. This was one of those. So financially it made sense to us, and it was mostly a financial transaction. The strategic benefits are such that it gives you more optionality on what you do if you don't use that branch, because if you are owning it, you can sell it. Having that sell option beyond just subletting option is a good option to have. Meaning if you were only sale and lease back, you can choose to not use that location, but then you can only sublet it. You cannot sell it because it's somebody else's. In the case of owning those branches, you can not only sublet, but you also potentially sell the location. To cut a long story short, it gives you operationally more flexibility on optimizing the value of that franchise. The transaction itself, it's mostly a financial transaction, to be fair. I mean, it was a positive NPV project. The original contract that we had, it was signed many years ago, as you know well, had this 1.5 times inflation as the yearly increase. When you calculate all of that into the NPV, it made sense for us to do it. The strategic optionality is also positive, as I mentioned. The second question, do you wanna take this, Rafa? Is Mexico, Citibanamex, and how do you see the dynamics? I think it's quite early. I mean, Banamex already started the process with a lot of interest from different participants. The reality is that from our perspective, it's clearly an opportunity. I think the market is going to be one very important competitor is going to be more or less, you know, distracted in the next two years in the selling process and also in the integration process. From our perspective, I think it's good in terms of the demand then from the clients. On the other hand, I think it's also always good to reduce the number of competitors. Positive news. Very good. Okay, thank you, Benjamin. Next question, please. Our next question is from Sofie Peterzens of J.P. Morgan. Sophie, please go ahead. Hi, here is Sophie from J.P. Morgan. I was just wondering if you could kind of talk a little bit about the NII or the assumptions that you have in your new rate sensitivity guidance for Spain, 15%-20%. What kind of deposit beta and pass-through have you assumed here? Also for your kind of revised guidance for Spain's slight NII growth in 2022, could you just remind us on your TLTRO assumptions? Do you still expect that TLTRO to definitely fall off in the third quarter? That would be my first question. The second question would just be around your kind of growth opportunities. Last year you launched your digital bank in Italy. Now you have Neon in Brazil. If you could, just talk about the opportunities and how these businesses are performing. Thank you. Perfect. On the rate sensitivity, I take it maybe on TLTRO and the NII dynamics, Rafa, you take the second question, and then I will comment back on digital bank. Or maybe let's start with the third one, the digital bank dynamics in Italy. As we discussed it in the last quarterly call, or maybe the one before, I forget it now. I'm getting old, Sophie. Italy, it's a clear initiative. We do believe that digital, not for all the segments, but for certain segments, pure digital is the way to go because it comes with a much better cost structure to serve clients than the traditional banking model. That's why in the Investor Day, you might remember this, we put forward very clear two convictions on the table. One, if we are going for a traditional banking model, meaning all segments, all channels, branches and everything, we believe that we have to be large in any country that we are in. That local scale, that global scale, but also local scale is very important. Be big. We don't want to be with the traditional banking model, with 0.6%, 1% of market share in a certain country, because we do think that you need scale. That is also the reason why we did sell the U.S. business, because our market share was 0.6% in the U.S. The second thing that we have as a conviction is that for certain segments, again, I'm underlining it once again, not for all, but for certain segments, and that segment is growing and growing, the best way to serve them is the digital way. As such, we are getting into new countries with that model with a better cost structure than incumbents and growing our franchise. These projects, they are not short-term projects. It takes time. That is why you need players like us, in my view, who do have convictions on these, who do have the existing infrastructure and the capabilities to do this, and who can stand for many years to get to the profitability in these ventures. But they do deliver value. When you look into the value, they do deliver value. With these ideas, we have these, Brazil, UK, Atom Bank, Brazil, Neon Bank, which is basically we are investors, but we are investors in some things that we believe in. In the case of Italy, we are doing it with our own existing infrastructure and systems, which is basically the Spanish systems being deployed to Italy. The numbers are very good. I did share with you a figure at that time that we were going very well. That same velocity of customer acquisition is being maintained, which in my view is a very good signal because it comes up with a hype. In our case, it continues with the same velocity. We are acquiring very good number of clients in Italy. More importantly, as I said, especially in the first year of this venture, we have to create a difference in terms of customer satisfaction, which is you have to create a differentiation versus the incumbent for new customers to come to you. On that one, we are in the NPS ratings, in App Store rankings, you can easily check it yourself as well. We are clearly better than incumbents. We are also creating a differentiation and quality in terms of the service offering that we have on the table. Quite positive on those ventures and especially on Italy. On the rate sensitivity, as you have seen it, we put the numbers already in there. The deposit betas is basically until the rates. In the first 100 basis points, the first 50, 75, you have very limited impact on deposit. You see it also in the Spain page, Sofie, I'm sure. Most of our deposit base is demand deposits, so we have EUR 190 billion in the euro balance sheet of demand deposits and only EUR 16 billion in time deposits. How much of the demand will start trickling down to time deposits? Obviously, we have modeled all of this, and all of those numbers are reflected in that 15%-20% NII increase with a 100 basis points step function increase in the curve. Rafa, on the NII and TLTRO. On the NII, on our projections, I think the assumptions are on the one hand the evolution of rates that at the end of the day what the market is signaling us, so it's what the market are discounting in terms of the projection of future increase in rates. In terms of the TLTRO, I think we are taking the basic assumption that, you know, it's not going to be renewed, and therefore we will face the maturities of the TLTRO program that we have in December this year, EUR 7 billion. In March next year, another EUR 7 billion, and EUR 21 billion in June 2023. We are assuming that we have to absorb more than EUR 100 million when we compare the TLTRO contribution, when we compare 2022 with 2021. Perfect. Thanks, Rafa. Thank you, Sofie. Next question, please. We'll take our next question from Carlos Peixoto of CaixaBank. Carlos, over to you. Hi, good morning. Thank you for taking my call. The first question will actually be on capital, namely on the capital bridge. I was thinking, in the previous quarter, yeah, we had mentioned that there were roughly 10 to 15 basis points of market positions that you expected to revert, or a negative impact that you expected to revert this quarter. I was wondering if that is the reason behind the fact that the market-related impacts in the quarter ended up being quite small. On the second question, on Turkey, do you stick in local currency to the guidance provided at the previous earnings presentation, particularly on cost of risk, despite now the war in Ukraine and the impact that the recession in Russia could have on tourism for Turkey. Finally, just a third question, if I may, just on the fees in Spain, do you keep the flattish guidance that you were providing before? I'm sorry if I didn't hear a guidance on this before. Probably it's us because there's a breakage in the line from time to time, so apologies if you cannot get it. I will reply as I understood it, and if I miss anything, Carlos, please tell us at the end. First of all, the impact that we said we would revert back in the last quarter, that I guess you were asking about that, the 15 basis points of some recovery from some of the things that we have seen in the fourth quarter. That has actually recovered. In the presentation, I mentioned it as I was explaining the capital page, which is if you leave it completely to the activity growth, the RWAs would have. They did go up by 25 basis points. You see in the waterfall, in the capital page, that it's 17 basis points coming from RWAs. The difference, the eight basis points, is actually the reversal of the market risk-related RWAs due to Turkey, the volatility. We did guide you 10 to fif. If I remember it well, it was 10-15 basis points. The eight basis points is purely reverted. We can clearly identify what that unique thing is. The rest came in the credit RWA. It's very tough to isolate it, but to cut a long story short, whatever we told you last time is actually happened, and that's why despite 4% growth in activity, 4% growth, you don't see as much growth in RWAs in the capital page. The guidance, cost of risk and implications of Russia, Ukraine, and so on, we do maintain our guidance. We are not changing it. We do see relatively positive dynamics so far. When we look into it, because, as you can imagine, I mean, the two geographies that would be affected more from the Russia-Ukraine situation is Turkey and Spain. Actually, I just came from Latin America. In Latin America, again, it's a terrible tragedy in my view, it's a war and so on. In terms of financial, purely economic impact in Latin America, they don't think that there is a war or they don't feel that in terms of the dynamics of the businesses. We are advantaged in the sense that a good part of our countries, they don't feel the impact yet. Obviously, it goes through the commodities channel, it goes through oil price, food prices, and so on. Some countries in our footprint, for example, Colombia, is actually gonna grow more than less after the war because it's an oil exporter and so on. To cut a long story short, in the case of Turkey, we do see these negative implications, but we don't negatively or worsen our guidance on cost of risk because we are not seeing it in the numbers. Why is that? It's because Turkey, in my view, is kind of in a very delicate situation, let me not call it more, but in a delicate situation since 2018. I remember it very, very well. August 2018, there was a big sudden, sharp increase in currency, I mean, a lot of volatility. Since 2018, we have been provisioning and getting out our clients, trying to manage our loan portfolio, and so on. I remind you once again that in Turkey, our USD dollar foreign exchange loan book was around $22 billion five years ago. Now it's more than half of that number. We have been managing this portfolio because we have been stress tested since 2018, every single quarter, every single year. In that sense, we have to be cautious. We still need to see the pure implications because the short-term dynamics, macro dynamics in Turkey is a worry, obviously, for all of us. We are not seeing it in the cost of risk numbers. As such, we are sticking with our guidance. The flattish NII, sorry, net fee income, commission income in Spain, it's mainly because of asset management. Asset management in the fourth quarter, in the base number, there was a success fee for the year of 2021, and that success fee is obviously not there. In this quarter, as you can imagine, given the markets, there were still positive net inflows into the funds, even in March, where there was a lot of volatility. We grew our book independent of the market impact, but the market impact was EUR 2.8 billion. The portfolios have come down just because of the market, equity portfolios have come down. As a result of that, you would be making less money. That's the reason why we have this flattish curve. The underlying fundamentals, if the markets improve a little bit, is quite positive. We are actually growing on, again, payment systems, on banking e-accounts, and so on. The fee part is growing in other parts, except asset management and CIB was a bit soft in the first quarter. Overall, good dynamics, I would say. Thank you, Carlos. Next question, please. We'll now move over to Stefan Nedialkov of Citigroup. Stefan, over to you. Hi, guys. Good morning. I have two sets of questions. The first one is on Turkey and the second one is on costs. On Turkey, Onur, just trying to think through your NPV framework that you guys apply to all of your investments and acquisitions. I hear you on the accounting on the hyperinflation accounting dimension. What is kind of quite unclear to me is we have seen very favorable FX all things considered in Turkey year to date since the government basically put in place some unorthodox policies. The FX has hardly moved. Inflation is you know, 60%+. You know, theoretically speaking, if your profits grow at 60% with inflation, as a simplifying assumption, and your FX is constant, you know, Turkey should be overearning very meaningfully. At some point, reality should be catching up. I just wanted to understand when it comes to your NPV calculation, how does the interaction between FX and inflation come into play? I guess as a supporting question here, do you hedge any of the book value of Garanti, apart from excess capital? That's on Garanti. Quickly on costs at the group level, last quarter, you guys guided to costs growing less than inflation. I think you pointed to the footprint inflation being 11%+. Has that 11% changed, in your budget? Has your... Is your guidance the same in terms of costs growing less than inflation? Thank you. Very good, Stefan. Very good questions. On the cost numbers, maybe Rafael, you take that one. On Turkey, Stefan, I'm sure you're aware, but if you go to the European banks out there, and it's fair that we have it and they don't. We are one of the very few banks who did put tangible book value per share plus dividends into our strategic goals, and we committed to a certain figure in our investor day. That number, obviously, not only takes into account the P&L and this and. It takes into account everything, including the FX devaluation. If you look into the tangible book value per share evolution of our bank, given we are an emerging markets heavy bank, there are a lot of deteriorations happening year-over-year on FX, and we are taking them into account, obviously, in the OCI and in the tangible book value per share. What I can tell you is that given the franchise that we have in Turkey, our expectation, and I would need to highlight this, obviously, there are risks in Turkey. Obviously, in the short term, there are clear risks. We see them. Our expectation is whatever we committed to the market in terms of tangible book value per share plus dividends, and if you remember, we committed 9%. That 9% is very tough to commit to because you have many moving parts there. You have many things like effects, like the interest rates and the impact on the securities book that you have. There are things beyond your control a bit. We wanted to commit to a value creation goal, just purely because of this reason that you are asking, and that 9% is much higher than anyone else out there as we have seen their past track record. It's a very good number in our view, and we are committed and dedicated with everything that I mentioned about the deal and so on to deliver that figure to our shareholders. That's what I would say on that one. You were also asking whether we take into account the NPVs. Of course we do. Of course. You should see the foreign currency scenarios that we have in those figures, and the foreign currency scenarios can be quite dramatic. Despite that, we do think that the long-term potential of that country, the fact that we do have, in our view, the best bank in the country, creates a difference. In economy, the banks have to survive, and they have to live. If you do have the best bank, you typically create value over time, and that's what we are seeing in the numbers that we see. On costs. On costs, the guidance for the year is just the cost growing less than inflation, being flat at the comparable sector. Referring to the first quarter, the sub figures are the inflation rate on average on our footprint has been 10.3% year-on-year, and the increase in cost has been 8.5%. If we take into account the base effect on the variable compensation of 2021, in fact, the growth of the rest, the growth on the cost base deducting the variable compensation has been 6.2%. Okay. Thank you, Stefan. Next question, please. We'll take our next question from Britta Schmidt of Autonomous Research. Britta, over to you. Yeah. Hi there. Two quick questions. On the Mexican net interest income, could you give us a bit of a breakdown in the Q-on-Q moves between volumes, mix, and rates? On the trading income in this quarter, could you comment a little bit on what's driven that and give us a little bit more color on what the outlook is, what the market impacts were versus customer business? Thank you. Thank you, Britta. The second question, I leave it to you, Rafa. On the Mexican NII growth, we did mention it very briefly, but we are saying that we are upgrading our NII guidance for two reasons. First of all, we are upgrading our loan growth. We are seeing high single-digit growth now rather than the previous guidance of mid-single-digit. It will be high single-digit, the growth in loans, and then NII will be growing at double-digit. The gap, obviously, the fact that we are growing more in NII than loan growth is coming from the margins. We do have the breakdown, but it's based all on our assumptions. You can come up with your own assumptions, Britta, on this, but both of them are improving, basically. On the second question, Rafa? On net trading income, mainly, I mean, it's coming from the very good results generated at the global markets activities in relation with the trading with clients. At the corporate level, we have mainly the negative impact of the hedging of the FX exposure that given the good performance of the most of the currency in which we generate results has been negative this quarter with a negative impact of -EUR 49 million for the quarter. Thank you, Britta. Next question, please. We'll now move over to Carlos Cobo of Société Générale. Carlos, over to you. Hello. Thank you. Thank you very much for the presentation. A couple of questions from me. One is just a clarification. This is a very quick follow-up on the previous one about the capital release of the negative impact. Could you help us understand what was the driver? Because if we look at the CDS in Turkey, it has remained at high levels. So how could you manage to release the negative impact on capital? It'll be helpful to understand. Second is another one on. Well, there is a bid on Metrovacesa, and I don't want you to comment on that, but it'll be interesting to help us understand how do you think about these stakes, and how that resolves or not with the regulator. Is this seen as something as a potential de-risking process of the legacy assets that you had in the past? Or this is now purely managed only from a financial point of view, meaning that it's not seen as legacy assets in the books. Is that the same approach from the regulator or not? Lastly, a very quick question on Turkey, follow up on the asset quality debate. In the past, I think you made very good points about how you've been de-risking the balance sheet since a long time ago, and that makes a lot of sense, and we are seeing that in the cost of risk. You've also been guiding on the currency as the biggest catalyst for asset quality and cost of risk. Despite the increases, we haven't really seen a deterioration. It'd be nice to see your thoughts on that as well. Thank you. Perfect. Metrovacesa, you manage the equity portfolio. Rafa, you take Metrovacesa. The first one, the capital release of the negative impact. Carlos, I'm not sure that we shared that detail the last time. I don't forget. I don't remember now. There is this threshold of a certain CDS level. When it passes that CDS level, these market risk RWAs get triggered, and that level is around 600. At the end of March, that number was lower than 600. That's the key difference between the two. The CDS levels obviously didn't change much, but there are these triggers that kick in those financing deals, as you can imagine, and that trigger basically was lower than the number that we had back in the fourth quarter. On Turkey, I did say, and I still say the same thing, the key risk in the cost of risk for Turkey is gonna be obviously, absent of other major macro events and so on, is gonna be currency. Because the FX portfolio is still big for the Turkish banks. We deliberately, as I mentioned before, we have been coming down and down. They are great clients, but we exited a lot of them, and now it's less than 50% of what we had five years ago. We do trust in this portfolio, but it's one of the areas that we kept losing market share year-over-year. In the private banking space, excluding the state banks, we typically have around 20% market share in Turkey in different products. In this, we have 14% market share. We have been decreasing our market share quarter after quarter. I still say that if there is one vulnerability, it's the FX and the implications on the FX portfolio that we have. You might see that in this quarter, you might see an increase in our FX book. It's not because of the strategy that we were not applying this quarter. If you remember, it's public, there was a sale of the Türk Telekom stake that we have. As a result of that transaction, there is a bit of an increase in the FX portfolio. But our strategy is very clear. We don't want to grow in FX book. We only want to grow in clients that we really have a clear understanding of their portfolio, of their revenue base, and so on. We still stick with that guidance that we were giving to you before. On Metrovacesa? On Metrovacesa, as you said, I mean, the origin of the stake clearly comes from our recovery process from the global financial crisis. But we maintain our position there, and we manage as any other part of our equity portfolio. As of today, we maintain a little bit less than 21% stake in Metrovacesa with a book value of EUR 259 million. Of course, as we always do, we will analyze the offer that finally FCC will put on the market and decide what is best for our shareholders. What we have to say that so far, I think clearly Metrovacesa is a company that is, with a very good, you know, ability or capacity to generate cash, and therefore, I mean, the strategy so far has been clearly to remunerate the main shareholders and, well, the older shareholders, but mainly decided by the main shareholder, to continuous increasing the dividend base of that company. Perfect. Thank you, Carlos. Next question, please. We'll take our next question from Benji, over to you. Good morning. Thank you for taking the question. A couple of quick follow-ups from me. The first one was, just on the last point around capital. I mean, given, you know, the volatility that we've seen in the past around some of the mark-to-market, the market risk, impacts, you know, is there anything that you are doing or can do to try and reduce that volatility going forward? I guess just in the context of the Garanti minority buyout offer, the regulatory headwinds that you've pointed to, is the expectation that, you know, capital should trend towards your target range by the end of the year, or do you still think that, organic generation will be more than enough to offset? The second question was just a quick follow-up on Mexico, on the upgraded loan growth guidance for the year. I just wondered whether, you know, there was any particular split, that was driving that better guidance between mortgage, consumer or corporate, or all sectors performing better than expected. Thank you. Very good. Just to save on time, Benji, very good questions as always. Very quickly on the capital topic. As we discussed before, I'm not sure that you followed it fully, but what we are saying is that on the organic capital generation, excluding the M&As, excluding the supervisory impacts, our guidance or our approximation in the previous meetings were that we will generate EUR 1-1.5 billion organic capital every year. We do have a positive bias on that one. Then as we discussed at the beginning of the call, the supervisory impact, there are so many moving parts there, but there might be some negative impact coming from that. We did guide you to 35 basis points before, and it might be somewhat higher than that number, but we have to see it. It's something that we are working with our supervisor. When we combine them all, what the number would be, we need to provide you more transparency in the coming quarters, because especially on the supervisory topic, we have to keep working on it. On the Mexican. You also said, is there anything that we are doing to manage the sensitivity? Sorry. On that one, you do have it in the presentation in the appendix, but at 10%, the 100 basis points movement in the Spanish sovereign bond is 15 basis points on capital. In terms of currency, at 10% currency depreciation in Mexican peso is -5, and 10% currency depreciation in Turkey is -1. 10% in US dollar has actually, 19 basis points on the other way around impact. You have it in the appendix. You said, are we doing things to alleviate this? Obviously. If we were not doing the things that we were doing, these sensitivities would be much higher. I also guess I forgot it in Carlos's question, we do hedge 60%-80% of our excess capital in all the currencies, 60%-80%. We don't do beyond that. Or maybe it was before. It was before, I think. No, it was Stefan asking for it. We do hedge excess capital 60%-80%. We don't do beyond that. Given all these, the sensitivities are as you see in the appendix. The last one that you were asking about, Mexican loan portfolio. Very quickly, it's across the board, but especially in high return portfolios, we have a good appetite to grow, and we will continue to do that. Credit cards, consumer, SMEs, mid-small end of commercial, especially in those areas, we will grow, in our view, better than the market and deliver nice growth. Thank you, Benjie. Next question, please. We'll now move over to Fernando Gil de Santivañes of Barclays. Fernando, over to you. Hello. Thank you for taking my question. One question on the ALCO portfolio and how should we be thinking about going forward? We've seen a small increase in the Euro part and the yield has ticked up 40 basis points. What is your strategy and the size that you can get on the Euro part? And if you can comment on the Mexican part of the ALCO, would be great. Thank you very much. Rafa, I will give it to you. You are the ALCO guy. Maybe one topic, one quick comment on this one, which is we did also show it to you before. We have been holding up for the last 2 years for the yields to go up. You might have realized that our HQLA, the liquid portfolio that we have, was around EUR 22 billion-EUR 23 billion a year ago. We have been keeping our money in very short-term securities until we see the yields on the periphery, which is basically Spain for us, until the yields go up a bit. So that liquidity that we have been holding up, we will see how the yield situation continues, but can be used a bit in increasing our ALCO portfolio. That's the broader strategy. Anything to add, especially also on Mexico, Rafa? No, you said, I mean, Onur, I mean, the reality is that this is, I mean, this is the first quarter that we increased the ALCO portfolio in the last two years, so we increased EUR 3 billion. The ALCO portfolio is starting to take, you know, some opportunities in the increase in rates that we're seeing in the markets. This mainly in Europe, because in Mexico, we maintain flat the size of the portfolio with a significant portion of that portfolio in, you know, in the CPI-linked instruments. Thank you, Fernando. The last question, please. Thank you. We'll take our last question from Ignacio Cerezo of UBS. Ignacio, over to you. Yeah. Hi, good morning. Probably to follow up or different way of asking what Alvaro and Stefan, I think, asked on Turkey. I mean, given deterioration of local conditions, FX, global conditions with the Ukraine war, now looking into hyperinflation accounting, I mean, how can you explain raising the offer for Garanti, right? For example, considering withdrawing the offer, basically. I'm more thinking on a tactical basis. I think we all understand the medium-term value of Garanti at these levels, but what pushes you basically to raise the offer and pursue the transaction given the general deterioration of conditions? Very good, Ignacio. It goes back to the same answer that I gave before, value. Our expectation is that there will be fluctuations and negative news coming from Turkey in the short term, but we do think that the NPV of that additional investment makes sense, and in that context, also beats other capital deployment initiatives. We do think that some of the negative news is already priced in, but in the long term, this investment gives us a good opportunity for value creation. Very simple. Thank you very much, Ignacio. Thank you for all your questions. We have to end it here. Let me remind you that the entire IR team is available to answer any further questions you may have. Thank you very much for participating in this audio webcast.