The Countercyclical Capital Buffer (CCyB) rate for the second quarter of 2024 remains unchanged at zero per cent

Summary

The Bank of Italy deems that the countercyclical capital buffer rate in force for the current quarter, equal to zero per cent, is appropriate in the current macrofinancial context.

In the fourth quarter of 2023, the total credit-to-GDP gap remained broadly stable and was negative by about 13 percentage points, if calculated based on the methodology developed by the Bank of Italy. The bank credit-to-GDP ratio provides similar indications.

The flow of bank lending to the private sector, although still negative, is showing signs of improvement in the loans to firms component. Furthermore, the NPL ratio remains at historically low levels; the unemployment rate has decreased further. In the third quarter of 2023, real house prices were unchanged.

With a view to introducing a systemic risk buffer in Italy to manage the risks associated with unexpected events independent of the credit cycle, a public consultation is currently under way. The Bank of Italy will communicate its decision on this measure in the coming weeks.