According to Unimpresa, the reduction in interest rates favors large corporations, while small and medium-sized enterprises are left behind
A monetary policy that skips SMEs
The European Central Bank (ECB) has lowered its benchmark rate by 250 basis points over the past year, but the benefits haven’t reached all businesses equally. Large companies are seeing better loan conditions, while small and medium-sized enterprises (SMEs) continue to face high borrowing costs. That’s the warning from the Unimpresa Research Center, which points to a clear two-speed credit system.
ECB rates down, but banks aren’t keeping up
From May 2024 to May 2025, the ECB’s reference rate dropped from 4.50% to 2.00%. However, for bank loans up to €1 million, the average rate only fell from 5.91% to 4.43% — a cut of just 148 basis points. In contrast, for loans above €1 million, the rate dropped from 5.49% to 3.50%, a decrease of 199 basis points.
A widening spread: the smaller you are, the more you pay
The gap between the ECB’s rate and the rates charged by banks is now 243 basis points for small loans and 150 basis points for large ones. This discrepancy has not narrowed even during phases of monetary easing. In early 2022, when the ECB rate was still at 0%, the spread was already 220 points for small loans and 77 for large ones. Today, the difference has not only widened, but become more persistent.
Credit at two speeds
Banks reacted quickly during the tightening phase of 2022–2023 by raising interest rates, but they’re responding much more slowly now that rates are dropping. Why? According to Unimpresa, the reasons include risk aversion, limited competition for small amounts, and credit strategies designed to preserve higher margins.
SMEs: the backbone left behind
Unimpresa Vice President Giuseppe Spadafora stresses that SMEs — which lack access to alternative funding — are the ones most affected by this imbalance. In a context that should be favorable, they still face excessive borrowing costs, hampering their ability to invest, grow, and stay competitive.
FAQ
1. Why do SMEs face slower rate reductions?
Because banks apply stricter risk criteria and there’s less competition on small loans.
2. What is the “spread” between the ECB and bank rates?
It’s the difference between the ECB’s base rate and the rate charged by banks to borrowers.
3. Do large companies really get better conditions?
Yes — by about 90–100 basis points on average.
4. Is this practice legal?
Yes, but Unimpresa argues it’s unfair and harmful to the real economy.
5. Is the situation improving?
No, data shows the gap is becoming structural and persistent.
6. Which sectors are most affected?
All sectors dominated by micro and small businesses — i.e., much of Italy’s economy.
7. Why can’t SMEs negotiate better terms?
They have lower bargaining power and fewer financing alternatives.
8. What is Unimpresa proposing?
Better transmission of monetary policy and more balanced credit practices.
9. Can the ECB intervene directly?
Not directly, but it can raise awareness and promote transparency in the banking system.
10. What can SMEs do now?
Explore alternatives like loan consortia, guarantee funds, or crowdfunding — though options are limited.