Italy's Banca Carige faces capital gap of 600 million euros as fears loom

Milan

GENOA-BASED Banca Carige has been thrust into the spotlight as Italy's remaining large problematic bank after Rome's decision to wind down two ailing regional lenders this week and its planned bailout of Monte dei Paschi di Siena.

Carige, the country's ninth-biggest bank, has been told by the European Central Bank (ECB) it needs to raise capital and shed bad loans, but its restructuring has been delayed by a governance spat that led to the appointment of a new chief executive in June. It is scheduled to hold a board meeting on Monday to discuss its plans.