|05 December, 2019

Italy's Popolare di Bari taps banking fund for help - sources

Popolare di Bari, the biggest bank in Italy's underdeveloped south, has long been seen as a potential rescue candidate after piling up losses due to impaired loans.

MILAN- Unlisted Italian cooperative lender Popolare di Bari has tapped a banking fund financed by rival lenders to fill a capital shortfall, two sources close to the fund said on Thursday.

Popolare di Bari, the biggest bank in Italy's underdeveloped south, has long been seen as a potential rescue candidate after piling up losses due to impaired loans.

The sources said Italy's FITD depositor protection fund had received a preliminary request for help from Popolare di Bari, but added the fund needed to examine the business plan the bank is preparing before taking a decision.

(Reporting by Andrea Mandala, writing by Valentina Za, editing by Silvia Aloisi) ((valentina.za@thomsonreuters.com; +39 02 6612 9526;))

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