The Italian government to the embattled money-house, Banca Carige to help. The Cabinet approved late on Monday night, a decree, the suit of the Bank with immediate effect, government guarantees for the placement of new bonds. Thus, the “rights and interests of depositors should be protected,” said the head of government, Giuseppe Conte, according to the memo.
The European Central Bank (ECB) had provided the Institute with headquarters in Genoa last week, under forced administration. Before a planned capital increase had failed at the resistance of a major shareholder, and as a result the majority of the Board of Directors resigned. The decree is intended to enable the special administrators to take the necessary measures to stabilize the Bank, and the removal of problem loans, as it was said in a communication to the government.
u-turn
The populist government coalition adopted this also from their previous Anti-banking rhetoric. In fact, the Banca represents Carige tend not to systemic risk, i.e. it is of the European and Italian Official. Even if it is rooted in the Region of Genoa, comes to you only on assets of 25 billion euros and a market capitalization of EUR 84 million. The stock is exposed at a rate of 0.15 cents since Thursday from the trade.
the statement is Considered to be a recapitalization. This had scourged the Five-star movement in 2017, in the case of the (much larger) Banca Monte dei Paschi di Siena.
