GDP per capita in Italy
Italy - GDP per capita (Euros)
Q3 data confirms stagnant economy
In the third quarter of the year, Italy’s GDP grew 0.1% over the previous period in seasonally- and working-day adjusted terms, according to an advance estimate released by Italy’s Statistics Institute (ISTAT) on 31 October. The result, which marked the fourth consecutive quarter that the economy expanded 0.1%, beat analysts’ expectations that the economy would stall although underlines how frail the Italian economy remains. According to the accompanying press release, Q3’s reading reflected somewhat higher production in the industrial and services sector, which more than offsetting lower output in the agricultural sector. Meanwhile, in annual terms, growth came in at 0.3% in Q3, up from the first quarter’s 0.1% decline.
On the demand side, preliminary data indicated that domestic demand made a positive, albeit limited, contribution to growth, just about outweighing the negative contribution from the external sector amid the challenging global backdrop. Marginally increasing domestic demand suggests downbeat sentiment and gloomy demand prospects restrained business investment, which is further corroborated by stifled credit growth in the quarter. Household spending, meanwhile, likely strengthened somewhat, as suggested by higher consumer confidence, although muted wage growth and some job sheds call for caution. More detailed national accounts data will be released on 29 November.
Growth should pick up some steam in 2020, thanks to stronger domestic demand and a rebound in industrial production. Nevertheless, Italy will continue to lag behind its EU peers, weighed down by lackluster investment and muted productivity growth. Moreover, long-standing problems cloud Italy’s outlook, which the 2020 budget recently approved by the government fails to tackle. These include the second highest public-debt-to-GDP ratio in the European Union, a slow judicial system, high taxes and cumbersome bureaucracy. Of particular concern, the country’s burdensome public debt load, coupled with undisciplined government spending and political instability, could trigger renewed financial turbulence.
FocusEconomics panelists project growth of 0.4% in 2020, which is unchanged from last month’s forecast, and 0.7% in 2021.
Italy - GDP per capita (EUR) Data
|GDP per capita (EUR)||26,512||26,697||27,155||27,866||28,540|
5 years of economic forecasts for more than 30 economic indicators.
|Bond Yield||0.82||-0.40 %||Sep 04|
|Exchange Rate||1.10||0.65 %||Sep 04|
|Stock Market||21,738||-0.99 %||Sep 04|
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November 15, 2019
Consumer prices fell a revised 0.1% month-on-month in October (previously reported: 0.0% month-on-month), following September’s 0.6% slump, according to revised data released by the National Statistical Institute (ISTAT) on 15 November.
November 11, 2019
Industrial output dropped 0.4% in September on a month-on-month, seasonally-adjusted basis, contrasting August’s revised 0.4% increase (previously reported: +0.3% month-on-month).
November 4, 2019
The IHS Markit manufacturing Purchasing Managers’ Index (PMI) dipped to 47.7 in October from 47.8 in September.
October 31, 2019
In the third quarter of the year, Italy’s GDP grew 0.1% over the previous period in seasonally- and working-day adjusted terms, according to an advance estimate released by Italy’s Statistics Institute (ISTAT) on 31 October.
October 31, 2019
Consumer prices remained unchanged month-on-month in October, following September’s 0.6% slump, according to provisional data released by the National Statistical Institute (ISTAT) on 31 October.