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2025-07-29 19:19:21
[Is the Alarm Alarm for Italian Banks Alleviated? The Trade Deal's Impact is Limited, but Some Sectors Still Face Challenges] ⑴ On July 29th, ratings agency Scope Ratings released a report stating that the impact of the EU-US trade deal on the Italian banking sector will be manageable. ⑵ This is primarily due to the limited exposure of Italian banks to the affected sectors through their corporate loan portfolios. ⑶ Analysts believe that while the EU-US trade deal may have a significant impact on some sectors of the Italian economy, its impact on the credit profile of Italian banks is expected to be limited. ⑷ While banks themselves face relatively low asset quality risks, indirect effects could still weaken their profitability. ⑸ This suggests that the market should focus on the potential negative impact of the trade deal on specific sectors of the Italian economy rather than overly worrying about its direct impact on the entire banking system. ⑹ The resilience of the Italian banking sector will depend on how effectively it manages indirect risks and maintains profitability amid macroeconomic headwinds.
