Frosty January for bank credit to households and businesses. In fact, according to initial ABI estimates, last month loans to the private sector fell by 3,26% compared to January 2012 against -2,5% in December, to 1.467 billion euros. This fall, according to Gianfranco Torriero, chief economist of ABI, is the largest ever recorded since the historical series began in 1999.
This contraction, according to Torriero, is the result of the "six quarters of recession" that the Italian economy is experiencing. Net non-performing loans on total loans also increased, to 3,3% at the end of 2012 against 3,2% in November.
