Forum on Cooperative Banks and SMEs
Italy’s Popolari banks and SMEs:
a history of success
Riccardo de Bruyn
Director of the
“Associazione Nazionale fra le Banche Popolari”
(Italian Association of ‘Popolari’ Banks)
Brussels, 4 December 2007
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1. Popolari banks and SMEs: rising together
85
28,0
26,0
81
24,0
22,0
77
20,0
18,0
73
16,0
14,0
69
12,0
65
10,0
1971
1981
1991
% SMEs' employees market share (left)
Source: Assopopolari, Banca d’Italia, Istat (National Statistic Institute)
2001
2006
% Popolari's market share (right)
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2. Popolari presence is focused on SMEs’ system-areas
SMEs areas
Areas with high density
of Popolari branches
Source: Assopopolari, Banca d’Italia, Istat (National Statistic Institute); data referred to the end of 2006
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3. Efficiency: Popolari higher performance in customers screening
Bad debts/total credits
(% share)
12
10
8
6
4
2
0
1980
1982
1984
1986
1988
1990
1992
Total banks
1994
1996
1998
2000
2002
2004
2006
2000
2002
2004
2006
Popolari banks
Cost-income ratio
(% share)
80
70
60
50
1980
1982
1984
1986
1988
1990
1992
Total banks
Source: Assopopolari, Banca d’Italia
1994
1996
1998
Popolari banks
4
4.Popolari practice lower interest rates to SMEs
Loans other than bank overdrafts up to EUR 1 million
6,0
5,5
5,0
4,5
4,0
3,5
2003,01
2003,07
2004,01
2004,07
2005,01
Popolari banks
Source: Assopopolari, Banca d’Italia, European Central Bank
2005,07
2006,01
Total italian banks
2006,07
2007,01
Euro area
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