MASSA-CARRARA – It is a 2023 with a minus sign that emerges from the analysis of the trend of credit granted to the entrepreneurial system of the provinces of Lucca (-0.5%), Massa-Carrara (-8.8%) and Pisa (-5.7%). All in all, these numbers are in line with the developments recorded at regional and national level, both down by around 5%. The increase in the cost of money by the ECB, which began in mid-2022 and continued until September 2023, and the implementation of the new guidelines on the assessment of creditworthiness, are the main cause of these contractions. Furthermore, the increase in non-performing loans, linked to the slowdown of the economy and the rise in rates, has increased risk aversion in the banking system, making financial institutions more cautious in providing financing to businesses. Meanwhile, lending to households remained stable, with a decline in home equity loans due to higher rates, offset by increases in consumer credit (for personal loans and installment credit cards) and for the purchase of durable goods, also linked to the growth in car registrations. A positive note is represented by the increase in savings in the three provinces, driven by indirect collections such as securities held in custody or under management. This increase is the result of investors’ search for better returns, especially on government bonds, and the increase in their value over the period considered. The reorganization of the branch network continues in all provinces. This, in a nutshell, is what emerges from the analysis of the data from the Statistical Database of the Bank of Italy carried out by the Institute of Studies and Research and the Chamber of Commerce of North-West Tuscany.
“The data on credit – states Valter Tamburini, president of the Chamber of Commerce of North-West Tuscany – are a symptom of a difficult situation that our companies, especially the smaller ones, have in common with those of Tuscany and Italy. Even though we do not have specific skills in the field of credit, as a Chamber of Commerce we are fully committed to promoting the competitiveness of our production system. Through the provision of non-repayable contributions through specific tenders and the offer of managerial training programs, focused on internationalization and digitalisation, we provide companies with the necessary tools on a daily basis to face the challenges that arise with determination.”
In the province of Lucca, loans to businesses contracted by -0.5% in 2023: a change that follows that of the previous year (-4.1%) and which causes live loans to fall (loans net of those non-performing) to 4.7 billion euros. The decline was more significant among smaller companies (-8.8%) and among those belonging to the construction sector (-16.8%). Loans to larger companies, declining in the three-year period 20-22, instead marked a recovery in 2023 of +1.5%, a recovery also recorded in manufacturing (+0.6%) and services (+0.8% ). In the last twelve months, financing for productive investments (machinery, equipment, etc.) has decreased by 4.9%. The solvency of the Lucca economic system remains good overall also in 2023 (the flows of new impaired loans are 1.37%), although growing compared to the end of 2022 when it was 0.92%. The credit quality of small businesses improves (deterioration rate from 1.51% to 1.43%), while that of large businesses significantly worsens (from 1.16% to 1.81%).
In the province of Massa-Carrara, credit to businesses reduced in 2023 by -8.8%, reaching 1.5 billion. This is the first major decline, after a period of growth that started with the pandemic and continued until 2022 (+1.8%). Loans disbursed to small businesses recorded a significant contraction (-12%) which, added to that of 2022, meant a loss of approximately 73 million euros in two years. If in 2022 the stability of credit was due to the largest companies, in 2023 this type also marks the pace, seeing loans reduced by -8%. All economic sectors recorded declines: manufacturing -13.8%, construction -5.4%, services -6.5%. On the other hand, loans intended for productive investments (for machinery, equipment, etc.) increased by +1.9%, consolidating a growth path that started in 2021. The quality of credit in the Apuan economic system worsens: the rate of deterioration rose to 1.85% (from 1.08% in 2022) especially in larger companies (from 1.18% to 2.88%), while it fell in smaller ones (from 2.85% at 2.35%).
In the province of Pisa, loans to businesses decreased by -5.7% in 2023 (-245 million), a result which adds to the decline already recorded the previous year (-1.1%), bringing the stock of live employment at 4 billion. The greatest signs of tension come from small businesses, largely supported during the pandemic by support and moratoriums, which suffered a credit reduction in 2023 of -9.8%. However, loans to large companies also weakened and, for the first time since the pandemic, fell into negative territory in 2023: -4.6%. All sectors report a decline: manufacturing -5.7%, construction -2.6%, services -6.5%. It should be noted, however, that financing for productive investments (for machinery, equipment, etc.) has grown in the last year by +5.4%. The credit quality of the Pisan economic system worsens: the deterioration rate rises in 2023 to 1.97% (from 1.42% in 2022), exceeding the Tuscan average by approximately 6 tenths of a point. This indicator worsens for larger companies (from 2.35% to 3.37%), while it improves for small ones (from 2.01% to 1.83%).
