Developing the Italian banking system to favor competitiveness

The Roundtable dealt with a series of strategic issues concerning the Italian bank system, including the high cost of Italian bank serivces compared to other European countries; the limited size of the banks which doesn’t favor the internationalization of business; the difficulty in financing innovation and the common problem -especially in Southern Italy – of credit rationing. Banks stated that the cost of individual bank accounts in Italy are lower than France, Spain and Germany because of special agreements, payment on uninvested capital and joint holders. Italian banks are have over 75 branches worldwide and have a significant market share in several regions, for example in Eastern Europe. Financing start-ups involves a specific market where specialized agents operate (venture capitalists, business angels etc.) along with banks; there are no limits on innovation financing for enterprises and the rationing trend concerns primarily high-risk enterprises. It was also noted that the credit to regions in Southern Italy has grown more rapidly than other areas in Italy. Participants also discussed about the differences in the application of EU policies on a national level, as well as the degree of efficiency of the public administration and the fiscal policy of each country.