Italian NPL collections increased by 8% month-on-month to EUR 187m in November, continuing the trend observed over the past two years. However, volumes were 21% lower than the average for the same month in the 2022/2023 period.

Scope Ratings has been given a public ratings mandate by Banca Agricola Popolare di Sicilia (BAPS), the largest regional bank in Southern Italy formed from the recent merger of Banca Agricola Popolare di Ragusa and Banca Popolare Sant’Angelo.

Scope Ratings publishes its final rating methodology for CRE securities and CMBS following a call for comments. The proposed update clarifies and refines the analytical approach. The application of the methodology affects several outstanding ratings.

French banks have underperformed EU peers on profitability in 2024, mainly due to slower balance-sheet repricing. We expect revenue growth in 2025, but political uncertainty will weigh on market confidence and could delay the recovery in lending volumes.

Scope’s ABS mandates continue to grow with Asti Group RMBS IV, a securitisation of prime Italian residential mortgages arranged by UniCredit. The mandate follows the ECB’s inclusion of Scope’s ABS ratings in its credit assessment framework (ECAF).

Italian NPL collections rose by 11% month-on-month in October but were significantly below the volumes recorded in the same month of the past two years.

Savings bank consolidation has accelerated in 2024. With integration risks and capital impacts well controlled, this is positive from a credit risk perspective given economies of scale, stronger market positions, and business and regional diversification.

Consumer, corporate and SME ABS and RMBS have experienced positive ratings drift since the pandemic, a period characterised by extremely low levels of borrower insolvencies, mainly due to powerful policy measures in support of households and businesses.

Scope Ratings has published the performance overview of notes issued by Marzio Finance, a EUR 10bn securitisation programme backed by ‘cessione del quinto’ and ‘delegazione di pagamento’ (CQS) loans originated by IBL Banca.

As COP29 has come to an end, the meeting has clarified that the leading roles in future of financing climate action are likely to land in the laps of the EU and China.