Arab Today, arab today italys banks rebound as crisis subsides for now
Last Updated : GMT 22:53:44
Arab Today, arab today
Arab Today, arab today

Prime Minister Matteo Renzi:

Italy's banks rebound as crisis subsides for now

Arab Today, arab today

Arab Today, arab today Italy's banks rebound as crisis subsides for now

Italian Prime Minister Matteo Renzi
Milan - AFP

Italy's banks rebounded Thursday after the government moved to reassure investors there was no justification for three days of panic selling linked to a toxic loan crisis.

Prime Minister Matteo Renzi said the country's banking system was "much more robust" than thought -- and all the signs were that players on the Milan stock exchange believed him, despite lingering concerns over more than 200 billion euros worth of bad debts.

Banca Monte dei Paschi di Siena (BMPS) was one of the hardest hit earlier this week with trading in its shares suspended on Tuesday. But the bank considered to be the oldest in the world surged back spectacularly on Thursday with a 43 percent rise in a broader market that advanced 4.2 percent.

Also on the rise were Carige (+29%), Banca Popolare dell'Emilia Romagna (+11%), Banco Popolare (+10%) and Unicredit (+8%).

The rebound came after Renzi took to the pages of the Il Sole 24 Ore economic daily to try to reassure skittish investors.

"There's manoeuvring on some banks, full stop. The system, in my opinion, is much more robust than what some investors legitimately fear," Renzi said in an interview published in Thursday's edition.
"We're attentive and worried in the face of the tension on the banking front but that may be a good opportunity for the Italian credit system on condition it acts quickly and well," he said.

Data showing non-performing loans hitting a new record high on top of Italy's already struggling economy after a three-year recession undermined confidence at the start of the week.

Renzi told the Italian daily that he believed it was "best" to leave it to market forces to find a solution for the Italian banking sector.

Italian Finance Minister Pier Carlo Padoan also bolstered sentiment by describing BMPS as "an important bank" with "strong fundamentals and large liquidity".

"I imagine it is in the process of looking for a market solution to strengthen itself," he said.

"The aim of BMPS, but also of other banks in the Italian system, is to bolster themselves... to better resist the turbulence."

On Tuesday Italy's Banking Association said that bad loans, which experts say are unlikely to ever be repaid, hit a record 201 billion euros ($219 billion) in November.

News that the European Central Bank was asking several banks -- including BMPS, Banco Popolare and UniCredit -- for data on their bad loans fuelled concerns the situation was spiralling out of control.

Renzi told Il Sole 24 Ore that the primary response to the country's bad loan situation was to kickstart the economy, help the private market buy the loans and encourage the consolidation of Italy's banking sector.

Bank consolidation is a hot topic in Italy, which boasts over 700 different banks.

Asked if Italians' bank deposits were safe, he responded: "Obviously yes. And besides, to have one of the highest savings to GDP (gross domestic product) ratios is Italy's great strength. We'll never weaken it."
Source :AFP

arabstoday
arabstoday

GMT 07:18 2017 Monday ,09 October

takes eurozone farewell bow

GMT 15:08 2017 Sunday ,08 October

Deutsche Bank plots more moderate

GMT 16:07 2017 Saturday ,07 October

Saudi companies invest in liquefied gas

GMT 21:52 2017 Tuesday ,03 October

Saudi , Russia to set up $1bn energy fund

GMT 06:39 2017 Tuesday ,03 October

Equifax warned about vulnerability, didn't patch it

GMT 03:39 2017 Saturday ,30 September

Al Jawaheri economic improvement

GMT 04:54 2017 Tuesday ,26 September

OPEC to discuss extending cuts, quotas

GMT 02:07 2017 Tuesday ,26 September

Inequality, low wages weaken global growth
Arab Today, arab today
Arab Today, arab today

Name *

E-mail *

Comment Title*

Comment *

: Characters Left

Mandatory *

Terms of use

Publishing Terms: Not to offend the author, or to persons or sanctities or attacking religions or divine self. And stay away from sectarian and racial incitement and insults.

I agree with the Terms of Use

Security Code*

Arab Today, arab today italys banks rebound as crisis subsides for now Arab Today, arab today italys banks rebound as crisis subsides for now

 



Name *

E-mail *

Comment Title*

Comment *

: Characters Left

Mandatory *

Terms of use

Publishing Terms: Not to offend the author, or to persons or sanctities or attacking religions or divine self. And stay away from sectarian and racial incitement and insults.

I agree with the Terms of Use

Security Code*

Arab Today, arab today italys banks rebound as crisis subsides for now Arab Today, arab today italys banks rebound as crisis subsides for now

 



Arab Today, arab today
Arab Today, arab today Youssra depended on colored foam

GMT 16:53 2017 Tuesday ,05 September

Youssra depended on colored foam
Arab Today, arab today EasyJet, Lufthansa among seven to bid

GMT 06:49 2017 Tuesday ,17 October

EasyJet, Lufthansa among seven to bid
Arab Today, arab today Etiquette expert underlines importance of gifts

GMT 17:52 2017 Sunday ,03 September

Etiquette expert underlines importance of gifts
Arab Today, arab today Israeli court convicts Palestinians of 2016

GMT 04:39 2017 Tuesday ,17 October

Israeli court convicts Palestinians of 2016
Arab Today, arab today Iran's Facebook shuts down

GMT 23:50 2017 Monday ,16 October

Iran's Facebook shuts down
Arab Today, arab today
Arab Today, arab today
Arab Today, arab today Sidem reveals plan to improve education

GMT 15:52 2017 Friday ,06 October

Sidem reveals plan to improve education
Arab Today, arab today British actress becomes fifth woman

GMT 18:15 2017 Monday ,16 October

British actress becomes fifth woman
Arab Today, arab today Three killed, 360,000 without power

GMT 05:11 2017 Tuesday ,17 October

Three killed, 360,000 without power
Arab Today, arab today The history of solar eclipses

GMT 05:16 2017 Sunday ,20 August

The history of solar eclipses
Arab Today, arab today Mercedes says recalls 400,000 UK cars

GMT 06:56 2017 Tuesday ,17 October

Mercedes says recalls 400,000 UK cars
Arab Today, arab today Britain's Vauxhall to cut 400 jobs

GMT 10:53 2017 Sunday ,15 October

Britain's Vauxhall to cut 400 jobs
Arab Today, arab today Anoshka happy for reactions to her talk show

GMT 12:33 2017 Friday ,13 October

Anoshka happy for reactions to her talk show
Arab Today, arab today India to close colonial-era military farms

GMT 18:49 2017 Monday ,16 October

India to close colonial-era military farms

GMT 10:55 2017 Thursday ,12 October

Safaa Sultan happy for “Love School”

GMT 10:37 2017 Thursday ,12 October

Cara Delevingne accuses Weinstein

GMT 16:53 2017 Saturday ,02 September

Mai importance of gifts during Eid Al-Adha

GMT 12:02 2017 Saturday ,14 October

Conservation cutbacks put Brazil's

GMT 10:46 2017 Saturday ,05 August

Nanis reveals simple ideas for home renovation

GMT 12:25 2017 Saturday ,14 October

Squeeze on UK health gives advanced

GMT 07:02 2017 Sunday ,15 October

German minister sparks uproar

GMT 17:12 2017 Monday ,07 August

Al-Shawaifi reveals secrets of total solar eclipse

GMT 03:59 2017 Sunday ,15 October

US mobile carriers Sprint, T-Mobile to merge

GMT 11:37 2017 Saturday ,12 August

Fashion designer reveals her new collection
Arab Today, arab today
Arab Today, arab today
 
 Arab Today Facebook,arab today facebook  Arab Today Twitter,arab today twitter Arab Today Rss,arab today rss  Arab Today Youtube,arab today youtube  Arab Today Youtube,arab today youtube
arabstoday arabstoday arabstoday arabstoday
arabstoday arabstoday arabstoday
arabstoday
بناية النخيل - رأس النبع _ خلف السفارة الفرنسية _بيروت - لبنان
arabstoday, Arabstoday, Arabstoday