Italian Institute for Insurance Supervision publishes macroprudential committee assessment that global uncertainty remains the main risk to Italy’s financial system

The Italian Institute for Insurance Supervision published a readout from the Committee for macroprudential policies meeting, which concluded that the main risks to Italy’s financial system still stem from an international environment marked by high uncertainty. The committee judged the financial conditions of intermediaries, households and businesses to be broadly sound and said financial markets have continued to function in an orderly way, although those sectors remain exposed to global geopolitical risks. The review highlighted elevated valuations in major global equity markets, especially in technology. It said the rapid development of artificial intelligence creates opportunities for financial operators but also increases vulnerabilities, particularly operational and cyber risk, which Italian authorities have flagged to supervised intermediaries. The committee also continued to monitor household investment in certificates, noting that holdings remained broadly stable in the second half of 2025 but still at high levels, and reviewed work led by the Ministry of Economy and Finance on household investment in cryptoassets, including possible national and European initiatives to expand information on the placement of those instruments. The meeting also examined the analytical and operational framework supporting the committee’s work on benchmarks used in financial contracts, which is due to be completed in the second half of the year, and considered how to respond to the International Monetary Fund’s preliminary recommendations under the Financial Sector Assessment Program for Italy. Minutes of the meeting will be published separately.