The State guarantee to facilitate the disposal of bank non-performing loans will have a duration of 18 months, renewable for a further 18 months subject to agreement with the European Commission.
This was explained by the Ministry of Economy during a technical briefing on the contents of the decree law approved yesterday in the Council of Ministers.
The aim is to favor the reduction of the system's non-performing loans, bringing them back in line with the continental average.
Via XX Settembre also announced that negotiations are currently underway with the European Central Bank for the purpose of including the securities subject to public guarantees as collateral in the Eurosystem's refinancing operations and in the asset backed securities purchase programme. Finally, the decree authorizes alternative investment funds such as hedge funds to provide direct credit.
