The official site of Italy's central bank

Supervision

Article 47 of the Italian Constitution states that:

"The republic encourages and protects savings in all their forms, regulates, coordinates and controls the provision of credit."

On the one hand savings, on the other credit, i.e. the supply of financing to persons who wish to start or expand an activity, especially firms, but also members of the professions and ordinary citizens.
The connection between savings and credit is made up of banks and financial intermediaries. These are firms that operate independently but within a framework of rules and controls intended to produce an efficient, stable and transparent market that contributes to the health of the economy.

The law entrusts the task of issuing these rules and enforcing them to the Bank of Italy, which cooperates with other public authorities, such as the Ministry for the Economy and Finance, the Interministerial Committee for Credit and Savings, Consob, the Supervisory Authority for the Insurance Industry (Isvap), the Antitrust Authority and the Supervisory Authority for Pension Funds (Covip).
All this is achieved in harmony with Community law and in collaboration with European supervisory authorities.

What does the Bank of Italy do?

The Bank of Italy checks that banking and financial intermediaries are managed soundly and prudently. Soundly, in the sense that they carry on their entrepreneurial activity in compliance with all the rules. Prudently, in the sense that they do not put their survival or the money entrusted to them at risk in order to make profits. The Bank also monitors the transparency and correctness of banking and financial transactions and services, so as to improve relations with customers.

To this end the Bank of Italy:
- issues technical regulations and ensures that they are applied
- fosters the sound and prudent management of intermediaries by examining documentation and carrying out inspections on their premises
- sanctions incorrect and opaque conduct vis-à-vis customers.

Lastly, the Bank of Italy promotes the development of the citizens' financial literacy in order to make them more aware of their financial decisions.

What do intermediaries do?

Banks and financial intermediaries carry on their business within the regulatory framework established by law and the Bank of Italy.
They must therefore adopt all the capital, organizational and operational measures needed to avoid excessive exposure to risks and create relations with customers based on correct and transparent behaviour, offering products and services tailored to meet their needs.

What can customers do?

Risk reduction is better pursued when customers are aware of their rights, have a complete set of information and are prudent in taking risks and evaluating the cost of the services to which they have access.

The complaints regarding unfair or abnormal behavior adopted by intermediaries that customers make to the Bank of Italy and other authorities contribute to improve the financial system.

The Bank of Italy lays down the rules on intermediaries' correctness and transparency and enforces them; however, it cannot settle disputes between intermediaries and customers. When customers want to obtain a decision on a dispute, they must turn to the courts or one of the alternative systems, such as the Banking and Financial Arbiter (www.arbitrobancariofinanziario.it), which allows disputes to be resolved in a shorter time and at a lower cost.

In administrative proceedings involving intermediaries, the Bank applies Law 241/1990. This means that there is a person responsible for each proceeding, that the reasons are given for every decision and that interested parties have access the documentation concerning them.