Italian official: There are no immediate plans to support Monte Paschi

An Italian government official came on the wires earlier today, clarifying that there are no immediate plans to support Banca Monte dei Paschi di Siena, Italy’s third largest commercial and retail bank by total assets.

On Tuesday, news hit the wires that Italy is looking to inject EUR3 billion capital into Monte dei Paschi in what may become the lender’s third bailout since the financial crisis. However, officials for Monte Paschi and the Italian treasury had declined to comment on it yesterday.

As noted by Bloomberg, The present crisis deepened after Britain voted to leave the European Union at the end of June, triggering a fresh share selloff in some of the region’s weakest lenders amid concern over a worsening economic outlook.”