Italian Gov't Plans to Provide $21 Bln to Aid Banking Sector

Italian government is prepared to allocate 20 billion euros ($21 billion) to support the country’s banking sector and in particular the oldest European bank Banca Monte dei Paschi di Siena (MPS), which has been severely weakened in recent years, Prime Minister Paolo Gentiloni said.


Gentiloni and Minister of Economy and Finances Pier Cardo Padoan explained at a press conference late on Monday that the money would help "provide the necessary level of liquidity" in order to restore the potential of financing in mid- and long-term perspective and to strengthen assets of separate banks by taking recapitalization measures.

The rescue fund proposed by the government "is a precautionary measure," the prime minister underlined.
[sputniknews.com]
 20/12/16
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