Their rapid reabsorption would facilitate a recovery in lending and a lowering of the cost of credit. Parliament’s recent measures to shorten credit recovery times are a step in the right direction and are helping to rekindle interest in investing in the non-performing assets of Italian banks.
These policies led to a sharp contraction in global trade in the 1930’s, beyond the economic collapse itself, and a lacklustre rebound in trade despite the eventual worldwide economic recovery.