A monthly report on the balance sheets of domestic banks showed loans to non-financial companies grew by 2.8% year-on-year in November compared with a 3.1% rise in October.

The data also showed Italian residents' deposits with domestic banks were down to 2.75 trillion euros ($2.95 trillion) compared with 2.77 trillion euros the previous month.

Gross unpaid loans fell to 34.01 billion euros at the end of November from 34.72 billion euros a month earlier.

($1 = 0.9322 euros)

(Reporting by Sara Rossi, editing by Federico Maccioni)