The Central Bank of the Republic of San Marino announces that a Shareholders’ Meeting was held, attended by Marco Gatti, the Secretary of State for Finance and Budget, and Roberto Ciavatta, the Secretary of State for Health and Political Affairs, representing the Esteemed Chamber. The meeting also included representatives from the banks participating in the endowment fund.
Among the various items on the agenda, the Assembly approved the "2019 Financial Statements" and appointed a new Auditor.
The Central Bank is pleased to report that, thanks to significant efforts and various initiatives undertaken during 2019, the gross operating result has returned to a positive figure after six years.
The Shareholders' Meeting, with the aim of restoring the capital reserves, has resolved to allocate the net result, amounting to €0.5 million, to the general financial risk provisions and to close the financial year at break-even.
The positive result was driven by increased profitability across the Bank’s various profit-generating sectors, particularly in the management of the securities portfolio, as well as the reduction in general expenses implemented during the last year.
In this regard, it is worth noting that the Board of Directors, in compliance with Article 52 of Law No. 173/2018, approved a "cost rationalization plan for the management of the 2019 FY," which resulted in a reduction of operating costs by €2.3 million compared to the previous year (-20%). This decrease primarily impacted personnel costs (-€1.0 million) and other administrative expenses (-€1.3 million). As a result of these actions, total administrative expenses reached their lowest level in the past 11 years (only in the 2008 financial year was a lower value recorded).
The Shareholders' Meeting, upon nomination by the Minority Shareholders, has also appointed Dr. Monica Zafferani as a member of the Board of Auditors, replacing Dr. Francesca Mularoni, to whom the Meeting expressed its gratitude for her professionalism and dedication during her tenure.
The full text regarding the "2019 Financial Statements" is available in the relevant section of the Central Bank's website.