Cassa depositi e prestiti (CDP) is an ancient Italian institution which has had an historically leading role in supporting the economy, mainly by financing the building of infrastructures owned by municipalities and local authorities. Ten years ago it became a limited company, even if the majority of its shares was still hold by the Italian Ministry of Treasury. Its task was then broadened to support Italian firms as a development bank. More recently CDP is acting as an important industrial policy player, collecting Italian State’s existing stakeholding in various firms or acquiring minority stakes in private emerging firms. Possible trade-offs between collective interests and management efficiency are discussed.
Keywords: Industrial policy, development financing, long term analysis
Jel Code: L52, G23, D04