Key data
| Regulation | Resolution of June 3, 2026, from the General Secretariat of the Treasury and International Financing, updating Annex 1 of the Resolution of July 4, 2017 on financial prudence |
|---|---|
| Publication | June 5, 2026 |
| Entry into force | June 5, 2026 |
| Affected parties | Autonomous communities, local entities and their financing entities |
| Category | Public Sector |
| Year | 2026 |
| Minimum fixed rate (1 month) | 2.12% per annum |
| Maximum fixed rate (360 months) | 4.12% per annum |
| Escape clause | Up to euribor + 20 basis points, with cancellation without commissions |
| Calculation basis | Actual/Actual, with linear interpolation for intermediate periods |
| Official source | BOE-A-2026-12042 |
Autonomous communities and municipalities that close debt operations as of June 5, 2026 must verify that the agreed rates do not exceed the limits now in force. The General Secretariat of the Treasury and International Financing has published the mandatory monthly update of Annex 1 of the Resolution of July 4, 2017 on financial prudence, with the maximum annual fixed rates and the spreads over euribor applicable to periods of 1 to 360 months.
This update does not modify the regulatory structure of 2017: it simply replaces the numerical values of Annex 1 with those corresponding to June 2026. It is a mandatory monthly publication obligation, but its effects are immediate for any operation formalized from the publication date.
What does this regulation establish?
The resolution updates the table of maximum rates that autonomous communities and local entities must comply with when contracting loans or other borrowing operations. There are two main blocks of limits:
Maximum annual fixed rates by period
The rates range from 2.12% for the 1-month period to 4.12% for the 360-month period. For intermediate periods not explicitly included in the table, linear interpolation is applied. The calculation basis is Actual/Actual.
| Period (months) | Maximum annual fixed rate |
|---|---|
| 1 | 2.12% |
| 360 | 4.12% |
| Intermediate periods | Linear interpolation between table values |
Maximum spreads over euribor
For variable rate operations, spreads are calculated on reference euribors at 1, 3, 6 and 12 months. The resolution publishes the maximum spreads applicable to each combination of operation period and reference euribor.
Escape clause
When the maximum cost resulting from the table is lower than the reference euribor, an escape clause is activated that allows contracting up to euribor plus 20 basis points. Essential condition: the operation must be cancellable without commissions.
Obligation to use the table
Administrations that do not have their own valuation tools are required to use this table to verify compliance with the principle of financial prudence before formalizing any borrowing operation or derivatives.
Economic and operational impact
The direct impact of this update is operational and control in nature, not additional cost in itself. The established limits act as a ceiling: if the market offers conditions above these rates, the administration cannot contract that operation without breaching the principle of financial prudence.
In the current interest rate environment, the range 2.12%–4.12% for fixed-rate operations is consistent with market levels for Spanish public debt at short and long term. However, in scenarios of market stress or for small local entities with less negotiating capacity, these ceilings can become a real restriction on access to financing.
The escape clause (euribor + 20 bp) is especially relevant in environments where euribor exceeds the maximum fixed rates in the table: it allows the administration to continue financing at variable rates without being blocked, provided the operation is cancellable without penalty.
From an operational perspective, the most relevant change is the mandatory monthly update: financial managers of autonomous communities and municipalities must always work with the table in force at the time of operation formalization, not with tables from previous months.
Who does it affect?
- Autonomous communities: all those that formalize borrowing operations (loans, issuances, derivatives) as of June 5, 2026.
- Local entities (municipalities, provincial councils, island councils, island councils): any local entity that contracts external financing.
- Financing entities (banks, savings banks, credit entities): must know the limits to structure offers that are admissible by their public sector clients.
- Comptrollers and financial directors of public administrations: responsible for verifying compliance before authorizing the operation.
- Financial advisors and public debt consultants: must incorporate the updated table in their viability analyses and offer comparisons.
Practical example
A medium-sized municipality negotiates in June 2026 a loan for 20 years (240 months) with a bank to finance infrastructure. The bank offers a fixed rate of 3.80% per annum.
The municipality's financial manager must consult the table in Annex 1 in force (published on June 5, 2026) for the 240-month period. Since the table only explicitly covers the extremes (1 month at 2.12% and 360 months at 4.12%), it applies linear interpolation:
Maximum rate for 240 months ≈ 2.12% + [(240 - 1) / (360 - 1)] × (4.12% - 2.12%) = 2.12% + [239/359] × 2% ≈ 2.12% + 1.33% = approximately 3.45%.
The offered rate (3.80%) exceeds the interpolated maximum (≈3.45%). The municipality cannot accept that offer without violating the principle of financial prudence. It must negotiate better conditions or reject the operation. If the bank does not go below 3.45%, the operation cannot be formalized under this regulation.
Note: the exact intermediate values of the table are not published in the summary of the resolution; linear interpolation is the official method for periods not explicitly included.
What should administrations do now?
- Download and file the June 2026 table: access BOE-A-2026-12042 and save the updated Annex 1. This table is the valid reference for all operations formalized as of June 5, 2026.
- Review ongoing or negotiating operations: if there are loans or renewals pending signature, verify that the offered rates do not exceed the maximum rates in the current table, applying linear interpolation if the period is intermediate.
- Check the applicability of the escape clause: if the maximum fixed rate in the table is lower than the reference euribor, evaluate whether the operation can be structured as variable at euribor + maximum 20 basis points, ensuring it is cancellable without commissions.
- Update internal control procedures: comptrollers and financial directors must incorporate the monthly consultation of Annex 1 as a mandatory step in the authorization protocol for borrowing operations.
- Inform financing entities: communicate to the banks you regularly work with the current limits to avoid inadmissible offers that delay contracting processes.
Frequently asked questions
What are the maximum fixed rates for loans to autonomous communities and local entities in June 2026?
The maximum annual fixed rates range from 2.12% for the 1-month period to 4.12% for the 360-month period (30 years). For intermediate periods, linear interpolation is applied between the table values. The calculation basis is Actual/Actual.
What is the escape clause and when can it be used?
The escape clause is activated when the maximum cost resulting from the table is lower than the reference euribor. In that case, the administration can contract up to euribor plus 20 basis points. Mandatory condition: the operation must be cancellable without commissions.
What reference euribors are used to calculate maximum spreads?
The resolution establishes maximum spreads on euribors at 1, 3, 6 and 12 months. Each combination of operation period and reference euribor has its own maximum spread in the Annex 1 table.
What happens if an administration does not have its own valuation tools?
It is required to use the Annex 1 table published monthly by the General Secretariat of the Treasury to verify compliance with the principle of financial prudence. It cannot formalize borrowing operations without demonstrating that the agreed rates are within the current limits.
How often is this table updated and from when is the June 2026 table valid?
The table is updated monthly by resolution of the General Secretariat of the Treasury. The June 2026 update is valid from June 5, 2026, the publication date in the BOE (BOE-A-2026-12042). Operations formalized before that date are governed by the previous month's table.
Official source
Consult complete regulation in official source
Notice: This article is for informational purposes only and does not constitute legal advice. For specific decisions, consult a qualified professional. Source: https://www.boe.es/diario_boe/txt.php?id=BOE-A-2026-12042