10 May, Italia Oggi
The Ministry of Economy has started the procedure to obtain from the European Commission a six-month extension of Gacs, namely the State guarantee to banks to help them get rid of NPL.
The news was confirmed by the Treasury itself reminding that Gacs had been already extended and will expire in September.
Gacs were created in February 2016 for a maximum duration of 18 months and were extended last September for 12 additional months. They provide a public guarantee on the less risky NPL tranches that banks sell in portfolios through securitisations, making the portfolios more attractive.
Source: Italia Oggi
Translator: Cristina Ambrosi