The information of San Marino: “The new public debt is affected by the success of Bns-Cis assets”
The new debt is affected by the failure to recover the public assets of Bns-Cis. The 53.7 million of the change in the balance sheet was not already debt, it has become so because no one has yet recovered the recoverable
ANTONIO FABBRI – The 53.7 million of public debt deriving from the transformation of the Bns-Cis bonds maturing in July, were not already there. To be precise, they were always potential debt.
The partial narration heard in the Council, among a debt part of the laws on banking resolutions, of leaving already done, in fact, that there was and, therefore, it is not an increase foreseen by the budget asses. On closer inspection, this is not the case.
Because? Because the law on bank resolutions provided that those bonds managed by the Central Bank, then and by the owned company active 100% of the Central Bank, then and by the active owned company (Sga) afterwards. The intervention of the State to cover the obligations should therefore have been possible, subsidiary and, above all, residual. The State had to cover any part of the bond overdraft that the three aforementioned subjects had to recover.
The problem is that neither the first, nor the second, nor now the third, have evidently recovered much of the assets, which there are.
In any case, it is not knowing whether and how much to have recovered. Certainly not much, otherwise state intervention would not have been necessary. Failure to recover which therefore now falls on the community through other public debt.
This is why it is new debt and not simply being liquidated as existing debt, because if the assets were to be recovered, the state would not have had to cover it or, in any case, it would have had to cover it only partially.
In the debate on this point, in the June council, it is discussed in the budget adjustment of this new issue. The waters, however, have been numbed, each one’s own pro-domo.
The amendment of the additional government of article 2-bis “Issuance of public debt securities“Provides for the issue of 10-year bonds at 1% for an amount of 53,770,000 euros, reserved for issue to the Asset Management Company and BNS spa. The Secretary for Finance, Marco Gattihe explained that the amendment, later approved, relates to the conversion of the current Bns bonds guaranteed by the state.
The councilor of the PDC Stefano Giulianelli has the terms of the resolution program billionspresented to the Finance Council Committee: “The ascertained debt is equal to 206 million euros, and the first deadline for the repayment of the Bns bonds is that of 22 July 2022, an upcoming deadline“. So, with the conversion, “we moved it to December 2032“.
On the topic, Alessandro Bevitori from Freequestioned the usefulness of the maneuver: “Here we are talking about moving a deadline, but it is not that we have a discount, rather we will pay more interest“.
To which in fact was already public were both the councilor of Net Giovanni Maria Zonzini, is Secretary of State for Finance Gatti. Zonzini repeated the story: “When Banca Cis jumped, the State reimbursed the account holders and issued bonds, still guaranteed by the amount of credits that BancaCis must have guaranteed from customers – he said – some credits have returned, but a residual part, and the State had to get the money out of him with nice bonds. Ultimately it was already in fact of the public debt – goes on – and the commitment of the obligation assumed by the State or securities today we formalize it as public debt, but in the act practical always pays the citizenship this bank failure “. One wonders why three subjects included – first the extraordinary administration, then billionsthen Sga – have recovered only a “residual” part of the assets, in three years of activity and of sound expenses to remunerate those who managed. A concept which, among other things, was also supported by the director A.D Giulianelli in a previous session. well to ask yourself instead of liquidating the matter by spreading your arms and in fact debt: “oh well, so much was already public”.
That those bonds were already debt, the finance secretary Marco Gatti also argued, even if, it must be said, a guarantee is a potential and the reasoning is valid that if there had been a concrete asset recovery operation that there would be no debt. “If debt is, debt is, but at least you help to go into profit and Cassa di Risparmio in a past year is in profit ‘, it is a different approach, there are those who put the dust under the carpet, we look for advantages and with Cassa we have demonstrated, here it is the same thing – said Gatti -. That is, we make bonds into debt, trying to create a market and an added value for the financial economy on them. We hope that, as for Cassa, they can then tell us that we were right“.
Certainly a reasoning on why the possible has not been recovered with the consequent relapse of the whole on the shoulders of the community would not have been peregrine.
Article taken from the information of San Marino published in full after 6 pm
Article taken from The Information of San Marino