Standard & Poor’s: Italy towards an accelerating recovery in 2016 – BBC

Macroeconomics

Milan , January 29, 2016 – 18:36

” We now expect that the economic recovery gains momentum in 2016 in Italy. ” Writes Standard & amp; Poor’s in a report on the Italian banking system. According to news agency ragitn are three “weaknesses” that arise for Italian banks:
1. “They have accumulated a large stock of non-performing loans”
2. They suffer from structural rigidities and poor efficiency
3. They are very fragmented and therefore difficult to achieve economies of scale.

“Consolidation”

With the reform of the popular, is coming by S & amp; P’s a phase of “consolidation among regional and local banks,” and in 2016 the authorities should be able to sell the four “good bank”. The strengthening economic recovery “will do well” to the banking sector – writes the rating agency – especially in terms of asset quality and ability to generate profits, even if only gradually. And insurance (Gacs) launched by the government to facilitate the disposal of bad debts, “even if positive, will hardly clean up quickly budgets.” For this reason, most “of our outlook ( on the ratings of banks, ed ) remains stable,” concluded S & amp; P.

Padoan: 2016, pivotal year

The prospects of Italy and the banking system has also spoken Economy Minister, Pier Carlo Padoan, speaking at Monza during a conference on taxes Assolombarda: “Now we are in 2016 or in a breakthrough year – he said – because this year we expect, not only the government but also other institutions such as the OECD, which drops the debt. ” Speaking about the banking system, for Padoan is “The” solid “but” is having problems “and despite everything” has gone through a deep crisis and in spite of this strain is still standing. ” On the subject of suffering the minister he recalled that “in Italy amounted to 200 billion and passes but this number indicates the gross. Given this huge number, there are shells and ours are above the European average. ” Finally, he recalled that “the self-reform of the BCC will go to the cabinet next week rather than this because there was a technical problem and so I want to reassure everyone.”

29 January 2016 (modified January 29, 2016 | 19:36)

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