The overcollateralization has increased. It now exceeds the target credit enhancement. At present, the issuer is prudently managing asset-liability maturity mismatch (ALMM) risk exposure, which we assess as being "low". Improved origination and underwriting policies, which we now consider to be prudent. The program's credit risk is higher than the average Spanish covered bond issuer, reflecting the aggressive underwriting and servicing policies of the savings banks that merged to create Bankia S.A. The mortgage loan book's level of severe arrears is higher than its rated domestic peers, although it is improving. Overcollateralization could decrease as a result of the mortgage loan book's amortization and the very low origination volume. Standard&Poor's Ratings Services' positive outlook on its credit ratings
