Italy offers state support to MPS

Italy yesterday offered up to €2bn (£1.6bn) to plug a capital gap in the bank Monte dei Paschi di Siena, the second time in three years the state has had to bail out the world’s oldest bank. Rome said it was ready to underwrite special bonds issued by the bank to plug a capital shortfall estimated at €1.3bn to €1.7bn, higher than the €1bn that investors had expected.