Italian Monte dei Paschi to lay off 20% of staff and close 30% office.

The crisis-hit Italian bank Banca dei Monte Paschi, as a part of the restructuring of the business reduce staff numbers by 20 per cent and cut down the number of offices by 30 per cent in five years.

It was announced during a press conference on Wednesday morning after the EUROPEAN union on Tuesday gave the final go-ahead for the Italian government to save Monte dei Paschi, with more than 5 billion euros of public funds.

The news that the number of branches will be reduced by 600 pieces, by 2021, while the workforce at the same time, dragged down by 5,500 people to about 20,000 comes just hours after ceo Marco Morelli on Tuesday dismissed rumors that layoffs are planned.

On Tuesday put on, within the Italian banking sector, the Carige developed a financial plan which includes a rights issue of 500 million euros.

Last week , an EU-approved solution for Veneto Banca and Banca Popolare di Vicenza, where the Italian government is providing up to € 17 billion.

”These agreements represents a turning point for the entire Italian banking industry. The worst is over, Italian banks have managed to dig himself out and pressing on the omstartknappen,” said unicredit’s former ceo Federico Ghizzoni to Bloomberg News.

It Milanobaserade stock broking Marzottos ceo Jacopo Ceccatelli notes that some of the ‘bail-outs’ can be questioned in the light of the EU-bankkrisregleringar.

”But from an Italian perspective is very positive because it takes away the systemic risk in the Italian banking system”, he pointed out to Bloomberg News.

Federico Santi, an analyst at Eurasia, for the forward to Italy now has plugged the leaky holes but that the underlying problems that for a long time has plagued the Italian banking system consists.

”There may be signs of improvements, but it is still not a great leap forward,” he said.

Not obligationsförvaltaren Marco Elser, Lonsin Capital, believes that the problems are over.

”Italy will probably do what it always has done and kick the can forward at the road,” he said to Bloomberg News.

At the beginning of the year there were a total of 313 billion euros in problematic loans in the Italian banking sector, or 15% of the total loan portfolio.

Italian banks rose overall in Milan on Tuesday and has continued slightly up during Wednesday’s öppningshandel.

Tradingportalen/Agency Directly.
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