View of the logo of Monte dei Paschi di Siena (MPS), the oldest bank in the world, which faces massive layoffs as part of a planned corporate merger, in Siena, Italy, August 11, 2021.
REUTERS / Jennifer Lorenzini/File Photo Acquire Licensing RightsMILAN, Nov 8 (Reuters) - State-owned Monte dei Paschi di Siena (BMPS.MI) on Wednesday became the latest Italian bank to surprise markets with stronger-than-expected third-quarter earnings thanks to a boost from higher rates.
Monte dei Paschi (MPS) is 64% owned by the state, which is working on reducing its stake in the Tuscan lender in line with re-privatisation commitments taken with the European Union.
High-street banks in Italy have been able to keep at a minimum the portion of the increase in official rates they pass onto depositors.
MPS said its core capital ratio had strengthened further in the quarter to 16.7%, above expectations and up from 15.9% at the end of June.
Persons:
Jennifer Lorenzini, Siena, Valentina Za, Robert Birsel
Organizations:
REUTERS, Wednesday, European Union, MPS, Thomson
Locations:
dei, Siena, Italy