Banks: suffering an increase of 18.4%, still close to the loans – The Republic

Banks: suffering an increase of 18.4%, still close to the loans – The Republic

MILAN – The sufferings of the Italian banks, ie loans that are difficult to recover because they are paid to companies who then went in trouble with the crisis are crescute last November by 18.4 percent annually. One thing, though improved from 19.1 percent in October, showing how great the urgency of solving the problem of credit quality with Italian banks and updates the need to study the plan of Bank of Italy, European Central Bank and the government. A design that provides for the intervention of the state as guarantor for the securitization of fifty billion this mass of difficult loans (totaling 180 billion): well packaged, would be sold to the ECB.

And ‘one of the findings as part of the main items of bank balance sheets published by the Bank of Italy, which for the rest track still a drop in loans to the private sector (-1.6% per year) and an acceleration of the collec tion. Here is a summary of the data:

collection. In November, the annual growth rate of deposits of the private sector amounted to 3.5 per cent (2.3 per percent in October). Bond funding, including bonds held by banks, declined by 17.4 percent year on year (-17.5 percent in the previous month).

loans. Loans to the private sector, adjusted for securitization and other receivables sold and removed from bank balance sheets, shrank year on year by 1.6 percent (-2.1 percent in October). Loans to households fell by 0.5 percent year on year (-0.6 per cent in the previous month); those non-financial companies fell, year on year, by 2.6 per cent (-3.1 per cent in October).

Non-performing loans. The growth rate the twelve months of suffering – without correction for securitisations but taking into account the discontinuity statistics – amounted to 18.4 percent (19.1 percent in October).

Interest Rates . The interest rates, inclusive of fees, on loans in the month to households for house purchase amounted to 3.19 percent (3.18 in the previous month); those on new loans for consumer credit 8.83 percent (8.97 percent in October). Interest rates on new loans to non-financial companies of up to 1 million euro amounted to 3.38 percent (3.54 percent in the previous month); those on new loans for amounts exceeding this threshold to 1.98 percent (2.05 percent in October). The rates paid on deposits in the complex be amounted to 0.74 percent (0.79 percent in the previous month).

Arguments:

suffering

Italian banks

loans

bad loans

loans

Italian economic crisis

Starring: