19 December, Milano Finanza
According to PwC, 2021 is likely to register the real impact of the pandemic on the financial market. Moratoria, guaranteed loans and redundancy funds have supported the economy so far, avoiding banks’ NPL stocks to grow in excess. That’s why 2020 is expected to close with non-performing exposures totalling 115-120 billion € compared to 135 billion € as reported in December 2019.
In 2021 banks will seek to keep their current Npe ratio. The focus will shift towards UTPs, which require a more systematic management approach in order to support companies struggling both from a financial and industrial point of view. For this reason, the possibility of new players such as retirement funds, family offices and private investors entering the market is not to be excluded.
Source: Milano Finanza
Translator: Cristina Ambrosi