The European Commission has given the green light to the extension until 30 June 2017 of the public guarantee for the liquidity measures of solvent Italian banks and its use for MPS. This was reported by a spokesman for the Commission, underlining that these are measures distinct from those necessary for preventive recapitalisation.
Italy has requested authorization to provide this support to Monte dei Paschi di Siena and the Commission "has approved it in line with state aid rules".
In the case of Mps, explains the Commission, "Italy has announced that it will request authorization for the preventive recapitalization of the Bank".
The Commission "will now work with the Italian and supervisory authorities to assess the compatibility of the intervention envisaged by the Italian authorities with EU rules".
