On Thursday 12 September the European Commission approved amended commitments submitted by Italy concerning support for the Monte dei Paschi di Siena Bank.
These are amended commitments, since the initial green light given by the Commission to this preventive recapitalisation dates back to July 2017 (see EUROPE 11822/29).
As part of this first decision, the banking institution had to issue Tier 2 securities within a certain period of time. But Rome has asked for an extension of this deadline. In return, and in particular in order to address potential concerns that might arise on the part of the European Commission, the Italian authorities have proposed additional commitments in the form of a reduction in the bank's operating costs and its restoration to viability.
Considering that these new commitments were equivalent to those first envisaged and approved in 2017 and that the bank's restructuring plan was not affected, the Commission considered that the Italian aid was still compatible with EU state aid rules. (Original version in French by Lucas Tripoteau)