Banking regulation—Italy—Q&A guide

The following Financial Services practice note provides comprehensive and up to date legal information covering:

  • Banking regulation—Italy—Q&A guide
  • 1. What are the principal governmental and regulatory policies that govern the banking sector?
  • 2. What are the defining characteristics of a bank to be caught by the banking laws and regulations? Is non-bank fintech regulated differently?
  • 3. Do the rules vary depending on the size or complexity of the banking institution?
  • 4. Summarise the primary statutes and regulations that govern the banking industry.
  • 5. Which regulatory authorities are primarily responsible for overseeing banks?
  • 6. Describe the extent to which deposits are insured by the government. Describe the extent to which the government has taken an ownership interest in the banking sector and intends to maintain, increase or decrease that interest.
  • 7. Which legal and regulatory limitations apply to transactions between a bank and its affiliates? What constitutes an ‘affiliate’ for this purpose? Briefly describe the range of permissible and prohibited activities for financial institutions and whether there have been any changes to how those activities are classified.
  • 8. What are the principal regulatory challenges facing the banking industry?
  • 9. Are banks subject to consumer protection rules?
  • More...

Banking regulation—Italy—Q&A guide

This Practice Note contains a jurisdiction-specific Q&A guide to banking regulation in Italy published as part of the Lexology Getting the Deal Through series by Law Business Research (published: February 2021).

Authors: Ughi e Nunziante—Marcello Gioscia; Gianluigi Pugliese; Benedetto Colosimo; Alessandro Corbò

1. What are the principal governmental and regulatory policies that govern the banking sector?

The main principles of the Italian system are to ensure the sound and prudent management of supervised entities, the stability of the entire banking and financial system as well as its efficiency and competitiveness.

The general structure of banking policy in Italy has, over the past three decades, been based on the obligation to comply with the principles and rules arising from Italy's membership of the European Union.

In this context, the prudential supervisory rules established at European level apply. These concern the capital adequacy of banks, the concentration of risks, the organisation of the institutions and their internal controls and the equity investments that can be held by banks.

The Italian banking system complies with the mutual recognition of banking authorisation granted to EU member states.

With the establishment of the Single Supervisory Mechanism (SSM), pursuant to Regulation (EU) No. 468/2014, the exercise of banking activities in Italy by authorised 'significant' EU banks of EU member states that participate in the SSM (ie, the countries of the euro zone) requires:

  1. in relation

Popular documents