Annual Report on 2024

In 2024, the Committee carried out the activities required to fulfil its mandate for the analysis and prevention of systemic risks in Italy and also equipped itself to perform its functions as set out in the legislation.

The Committee did not adopt any macroprudential measures of its own, as the ones taken by the individual authorities within their respective remits were considered sufficient for the time being.

At its two meetings in 2024, the Committee analysed the risks to the Italian economic and financial system, and focused on banking sector capital buffers, households' investment in certificates, the risks linked to the growth of the non-banking finance sector and the evolution of liquidity risk.

The Committee concluded that Italy's main vulnerabilities in the short term lie in the potential for escalating geopolitical tensions and the introduction of more protectionist trade policies than in the past, and in political and economic developments in some major European economies. Italy's exposure to these risks, which are attributable to external factors, is amplified by its weak economic growth and high public debt.

Financial market conditions in Italy remained relaxed in 2024, assisted by the prospect of key interest rate cuts. The banking sector benefited from high profits and banks' capital position continued to strengthen. The insurance sector recorded an increase in funding and a decline in liquidity risks, and is highly capitalized. Risks in the asset management and pension fund sectors are limited, partly because of their structural features.