A valuation method for the facilitated impact of State aid in the form of loan guarantee schemes

Eleonora Broccardo
Additional contact information
Eleonora Broccardo: Università di Trento

BANCARIA, 2009, vol. 11, 48-69

Abstract: The aim of the paper is to assess the efficiency of public aid in form of a guarantee, given the Ec State aid law. A State aid element valuation method for guarantee schemes, which highlights the effect of State aid on credit risk mitigation and takes into account the criteria for Ec eligibility, has been first modelled and then tested on guarantee schemes to Smes Italian regional loan portfolios. The result is an efficient model of credit risk intermediation with the inclusion of State aid, which positively influences the facilitated lending relationship between enterprises, mutual guarantee societies, banks and the public sector.

Keywords: state aid; guarantee; gross grant equivalent (search for similar items in EconPapers)
JEL-codes: G21 G28 (search for similar items in EconPapers)
Date: 2009
References: Add references at CitEc
Citations:

Downloads: (external link)
http://www.bancariaeditrice.it/prodotti/vedi/prodotto/id/1969/bancaria-n-11-2009 (text/html)

Related works:
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:ban:bancar:v:11:y:2009:m:november:p:48-69

Access Statistics for this article

BANCARIA is currently edited by Bancaria Editrice - the publisher of the Italian Banking Association

More articles in BANCARIA from Bancaria Editrice
Bibliographic data for series maintained by Francesco Emiliano Tani ().