IMF Staff Country Reports

Italy: Selected Issues

July 11, 2016

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Italy: Selected Issues, (USA: International Monetary Fund, 2016) accessed November 23, 2024

Summary

This Selected Issues paper analyzes the conditions under which Italian banks can earn sufficient profits to grow out of their asset quality problems, rebuild capital buffers, and finance the real economy. A bottom-up analysis of the 15 largest Italian banks suggests that restoring sustainable profitability depends heavily on the growth outlook. Many banks are expected to become more profitable as the economy recovers, but their capacity to lend depends on the size of their capital buffers. However, a number of smaller banks face substantial profitability pressures, highlighting the need to reduce the large stock of nonperforming loans and for further cost cutting and efficiency gains.

Subject: Bank soundness, Banking, Countercyclical capital buffers, Financial institutions, Financial regulation and supervision, Financial sector policy and analysis, Gender, Gender diversity, Loans, Nonperforming loans, Women

Keywords: A number of bank, Asset quality, Bank, Bank consolidation, Bank soundness, Company board, Countercyclical capital buffers, CR, Europe, Firm, Firm performance, Global, ISCR, Italy, Loans, Nonperforming loans, Veneto Banca SCpA, Women

Publication Details

  • Pages:

    43

  • Volume:

    ---

  • DOI:

    ---

  • Issue:

    ---

  • Series:

    Country Report No. 2016/223

  • Stock No:

    1ITAEA2016004

  • ISBN:

    9781498355575

  • ISSN:

    1934-7685