Italian entrepreneurs have funds, and finally they are using them to invest in growth. Confindustria’s data show that the level of investment is back to the same of the years before the crisis. However, total cash asset is 3.7% of total turnover, which implies a lack of confidence in the future.
Operating income has generally returned to 2007 results, thanks to sales, but also for their ability of managing finances, learned during the crisis, both in terms of non-operational management but also greater net working capital, thanks to a reduction in credits and debts.
Companies are now more focused on their core business and less on investments, which implies higher liquidity. Nevertheless, Italian companies cannot become more competitive if they do not invest their small treasures. 90% of Italian micro-enterprises, the founding basis of the entire economic system, are highly risk averse, paralyzed by uncertainty. This accumulation of credit and the lack of confidence lead the entire national economy to a stalemate phase, where the lack of a strong injection of trust from authorities does not help the nation to restart.