Spain's BBVA says Latin America in sweet spot

By Elisabeth O'Leary and Juan Navarro

MADRID (Reuters) - Latin America is enjoying a golden economic moment and healthy investment flows should continue as well as robust credit growth, the head of South America for Spain's BBVA (BBVA.MC: Quote, Profile, Research, Stock Buzz) said on Thursday.

Although Banco Bilbao Vizcaya Argentaria has been looking for acquisitions around the world, there were few opportunities in the emerging region at present, Ignacio Sanchez-Asiain, BBVA's Director of South America, told the Reuters Latin America Investment Summit.

"Latin America is in an economic sweet spot ... emerging countries are benefitting from strong fund flows and it looks like it'll continue," he said.

"We're seeing a very significant resurgence of loan (growth)," he said. "It's more solid than at other times, based on small business loans ... and on mortgages."

In Argentina, where he saw a wave of consolidation in the medium to long term, the bank was not looking to buy, nor to bid for the rest of Banco Frances (FRA.BA: Quote, Profile, Research, Stock Buzz), in which it has a 76 percent stake.

"We're at a time where we watching how (the Argentine market) is developing (regarding mergers) and ... Banco Frances is an excellent bank, very much prepared for growth," he said.

Banco Frances is Argentina's biggest private bank, with market share of around 9 percent.

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