93% of the total banks operating in Italy adhere to the new moratoriums
93% (in terms of total assets) of banks in Italy adhere to the new moratoriums signed by Abi and the business representative associations. The new moratoriums are already operational throughout Italy.
With the new moratoriums, the possibility of requesting suspension or extension was extended to loans granted until 31 January 2020.
The moratorium refers to loans to micro, small and medium-sized enterprises damaged by the epidemiological emergency "COVID-19". The suspension of the payment of the principal portion of the loan installments can be requested for up to one year. The suspension is applicable to medium / long-term loans (mortgages), also completed through the issue of bills of exchange, and to leasing, real estate or securities transactions. In the latter case, the suspension concerns the implicit capital portion of the leasing payments.
For loan extension operations, the maximum period of extension of the loan maturity can go up to 100% of the residual duration of the amortization. For short-term credit and agricultural management credit, the maximum maturity extension period is 270 days and 120 days respectively.
The agreement provides that, where possible, banks may apply more favorable measures for businesses than those provided for in the Agreement itself and it is hoped that, in order to ensure maximum timeliness in responding, the preliminary investigation procedures will be accelerated.
The agreement was signed by ABI, Alliance of Italian Cooperatives (AGCI, Confcooperative, Legacoop) CIA-Agricoltori Italiani, CLAAI, Coldiretti, Confagricoltura, Confapi, Confedilizia, Confetra, Confimi Industria, Confindustria and Network of Italian Companies (Casartigiani, Cna, Confartigianato, Confcommercio, Confesercenti) which also ask to expand the operations of the Guarantee Fund for SMEs and additional measures to facilitate access to credit.
In order to facilitate the implementation of the suspension or extension of the loan deadlines, the ABI and the associations representing the signatory companies are committed to promoting, at the competent European and national authorities, a modification of the current supervisory provisions regarding the tolerance (so-called forbearance), necessary in an emergency situation, such as the current one.