Sept. 10 - There's no need for Italy to seek financial aid, and the economy is stronger than most give it credit for. So says Enrico Cucchiani, the boss of Italy's second largest bank Intesa Sanpaolo.
Despite a deepening recession and one of the heaviest debt buttons in the world actually has on the path to the company and is more resilience that is commonly believed. Source says and -- -- Downey he's chief executive of Italy's second largest bank and has some follow thank you very much for talking to a says I'm. Do you think it's -- will not seek aid to seek financial assistance -- and frankly speaking I don't think it we. I think that. It certainly is doing what it takes to get out of the current situation. And he would do so aggressively. It would continue. According to the guidelines. Established and followed so far very effectively by about him wanting. And basically Italy has. What it takes to solve its own problems but of course it's seeking -- not seeking a formal program of assistance has not seen as a good thing. Up until last week it was seen as about the what it is is seen as a good thing but frankly speaking. I IE -- not so he know these assessments of quote read the important thing is to do the right thing. And I think the fundamentally the Italian economy. Is in better shape for that many believe. It is true that we have a very high debt to GDP. But it is also true that the state has. Abundant assets. Much many more -- and then that it would be it would happen -- what would be the case in other countries. And if you look at the west that the GDP of the country it is one of the -- as. Also Italy has a very robust. Industrials. Texture. In fact the investor about that in Europe runs from humble worker. To Florence and that. The Italian industry is very similar to the German industry so I think that we have a lot of things going. The austerity package. Is this working rather. And I by the recession is deepening. Yes of course that we could not rule it out of it through a recession that will continue. Also in 2013. I believe. But it was -- there was section was slow down and eventually things would come back of course whenever you do anything or when you do with. Policy. The effect the impact is not immediate that if I'm glad that we have to be patient but I am convinced that we are doing the right things. And I believe that the markets are acknowledging that so will you increase your holdings of Italian government bonds. I think that our policy would be basically unaffected. We have always. -- significant amounts of it and that. Very short maturity. I don't think that we currently do. -- have any significant shift parties -- your view on the EU proposals for banking union do you think it's like. The ECB should supervise also expose and -- -- banks. I believe so. I believe that the banking union business fundamentals that. Two -- and greater integration of Europe and the two key measures. Should come in supervisory. Activities. For all of the banking institutions. Within the Euro zone. And -- common. In insurance program -- how soon can this be achieved. Whether that depends upon. The intricacies of Brussels and Frankfurt and getting all of the people who run the table to agree. And to move. Specifically in this direction but I think a long time a headset. Most loaded and desirable but Leo moving in that direction final question I want to ask what you -- restructuring plans that are reports. You're going to cause up to 1000 retail branches in Italy. Is that correct I would not focus on non is I think that we are facing yet. The common friend in continent of Europe and certainly in it would be. That is the system is over ranged. Now -- humans wanted to do. There transactions. Viable by devices computers and so on 24/7. And for a few more it's pharmacists and so. Then it was years ago. And so we have to win that you're right.