It is industrial groups and large companies that weigh, with unpaid loans, on the balance sheets of Italian banks, but small debtors (families, VAT numbers, small and medium-sized enterprises) have had greater difficulties, in the year of Covid, to pay the installments of the loans. This is what emerged from an analysis by Fabi on data dating back to March 2021.
“About half of the bank non-performing loans – reads the map of non-performing loans drawn up by the trade union – out of a total of almost 50 billion euros, refers to loans for a significant amount, over 1 million euros. This is, to be exact, 23.8 billion, equal to 49.96% of the total 47.6 billion, attributable to 11,989 subjects (families and businesses) which correspond only to 2.36% of the galaxy of institutional customers. credit affected by the phenomenon of unpaid installments. And just 126 subjects hold 2.9 billion in impaired loans relating to loans over 25 million euros: therefore, 0.02% of customers account for 6.12% of bad loans. Few subjects, therefore, who, in the audience of over half a million ‘bad payers’ in the credit industry, have a significant impact on the bad debts of the banking sector. The percentage rises, if we take into account loans from 500,000 euros upwards: 4.39% of customers are ‘responsible’ for 60% of the unpaid installments, it means that 22,290 subjects correspond to over 28 billion in bad debts. This is what emerged from an analysis by Fabi on data dating back to March 2021. “Still too many loans to friends”, attacked the secretary of FABI, Lando Maria Sileoni, who has returned to point the finger on the role of banks , which have long been breaking away from the traditional lending business.
“The banks they focus heavily on the sale of financial products and little on loans. An activity, the latter, which is still closely linked to the personal relationships of bankers with businesses. In short, there is still a lot of relational credit, loans to friends of friends. Precisely for this type of behavior, the bad debts of the banks, that is the non-repaid loans, are produced by very few, large subjects. In short, it is not families, with mortgage or consumer credit repayments, that put the banks in difficulty, but 126 large subjects weigh heavily on banks’ balance sheets. And it would be interesting to investigate what are the real reasons that push banks to risk so much towards those who then demonstrate that they do not have the requirements to not repay the loans. Fintech would allow access to credit determined by computer systems, but it is hindered precisely by banks that want to continue to have free hands in providing credit only to certain subjects. This is a subject known to many but which has deliberately never been tackled with resolve, conviction and determination ”.
The analysis states that “among the many prophecies generated by the post-pandemic economic crisis, the one on the inevitable growth of non-performing loans is certainly one of the most controversial but what is certain is that banking customers destined to suffer the greatest effects negative will no longer be that of large size but that which belongs to the most vulnerable sectors and territories of the country. Tens of thousands of small / medium-sized enterprises and family businesses will be at risk in the coming years and when the national and European emergency measures cease their effects, banks will have to be ready to manage the probable new waves of non-performing loans and support – where possible – the economic and social fabric. Whether it is the fundamental lesson of the last economic crisis or a business to be consolidated, facing the new ‘rotten’ that is advancing will be a necessity and no longer a challenge for the entire banking system and if a change – more or less radical – is has already happened and the banks are better equipped than before, it will be important to understand the cost of a return to normality for the 630,000 customers (total families and businesses affected by the suspension of mortgages) ”.
“With almost 300 billion euros of loans subject to a moratorium, Italy, together with Portugal, boasts the European record for payment stops. The European snapshot of support measures reveals that the vast majority of loan moratoriums in major EU countries have expired. Moratorium loans constituted – at European level – 2.1% of loans to households and non-financial companies at the end of 2020, less than half compared to three months earlier and well below the peak of 9% reached during the year . Italy stands out from the others with 7.7% in December 2020 and 10.3% in June of the same year. Also in terms of deadlines, our country boasts a scant 34% of the moratoriums granted expired at the end of 2020, compared to 80% in France and Germany and 65% at European level. Given the still relatively high share of loans still subject to a moratorium and the substantial liquidity support measures still in place, it is reasonable to imagine that the quality of the banking sector’s loans is set to decline as early as 2022, but amid unstoppable sales of portfolios, still supported by fiscal incentives, and a growing attention to the quality of new credit, volumes will no longer be of concern as before. The real challenge will be to ensure fair protection for all consumers, whose first line of defense against the risk of insolvency must be the banks themselves: anticipate, manage and not cause them to fail ”.