pc
nid 94198
Jul 23, 2026
csoo@vixio.com
Italy
Bank of Italy
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1810 charsItaly's Bank of Italy Removes Prior Authorization Requirement for Major Bank Asset Transfer Operations
The Bank of Italy (Banca d'Italia) has amended Circular 229/1999 (Supervisory Instructions for Banks) to eliminate the requirement for prior authorization of major bank asset and liability transfer operations. This change implements Article 27 septies of the Capital Requirements Directive (CRD), as introduced by Directive (EU) 2024/1619, and aligns with modifications to Article 58 of Legislative Decree September 1, 1993, n. 385 (Banking Consolidation Act).
Under the amended framework, banks no longer require prior authorization from the Bank of Italy to execute significant transfers of identifiable legal relationships in block. Instead, banks must notify the Bank of Italy with adequate advance notice before completing such operations. The Bank of Italy retains all supervisory powers, including intervention rights, under applicable law. Banks must continue providing information on transfer operations to the Bank of Italy as specified in Title III, Chapter V of Circular 229/1999. Existing post-transaction reporting obligations remain in effect where currently required.
The amendment applies to asset transfers occurring after the Bank of Italy's implementing provisions for Article 58-bis of the Banking Consolidation Act enter into force. Those provisions are currently undergoing public consultation. Until the implementing provisions take effect, this interim measure ensures compliance with the Capital Requirements Directive's transfer framework, which does not mandate prior authorization for relevant asset and liability transfers within its scope. The measure enters into force the day following publication in the Italian Official Gazette and applies to proceedings already underway at that date.
REFERENCES:
Bank of Italy Provvedimento (Decree) on modifications to Circular 229/1999
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2363 charsBank of Italy Consults on Significant Transactions, Capital Reserves and Ownership Structures
On July 22, the Bank of Italy published its consultation on amendments to the Bank of Italy’s supervisory provisions concerning "significant transactions", "investments in property", "co-operative credit banks", "capital reserves" and "ownership structures". The consultation aims to gather feedback on changes necessary to transpose Directive (EU) 2024/1619 (CRD VI) into the Bank of Italy's supervisory provisions.
The consultation covers five key areas:
Significant Transactions: The amendments introduce a prior authorisation requirement for the acquisition and disposal of significant shareholdings, as well as for mergers and de-mergers. Furthermore, banks and parent companies must now provide prior notification for significant transfers of assets and liabilities.
Investments in Property: The general limit on investments in equity holdings and property is repealed. This existing national threshold was deemed incompatible with the new European CRD VI rules.
Co-operative Credit Banks: The prohibitions on acquiring controlling shareholdings in financial entities and the national quantitative limits for non-financial investments are repealed. However, equity investments must still comply with national rules regarding mutualistic objectives and local operational boundaries.
Capital Reserves: The Bank of Italy is now required to review systemic risk and O-SII capital buffers when a bank becomes subject to the new output floor. Additionally, it clarifies that the systemic risk buffer can be used to cover macroprudential risks arising from climate change.
Ownership Structures: The deadline for the competent authority to acknowledge receipt and notify a proposed acquirer of a procedure's initiation is extended from two to ten days. The amendments also introduce a mandatory consultation with anti-money laundering authorities. Finally, they align national rules on intra-group transfers and concerted actions with recent interpretations by the Court of Justice of the European Union
The consultation is aimed at banks and banking groups, at all parties intending to acquire or increase a qualifying holding in the banking and financial sector.
The consultation closes on September 20, 2026, responses can be submitted though the Bank's "Sondaggi" platform or by email to ram@pec.bancaditalia.it for those with certified email addresses.