Italy GDP Growth Weakest Since Q3 2016

The Italian economy advanced by 0.3 percent on quarter in the three months to December of 2017, matching the preliminary estimate and slightly below a 0.4 percent rise in the previous quarter. It was the slowest growth since the third quarter of 2016, as household consumption and fixed investment rose less while government spending recovered slightly.

Output slowed for household consumption (0.1 percent vs 0.4 percent in Q3) and gross fixed capital formation (1.7 percent vs 3.2 percent), mostly due to a lower increase in investment in machinery and equipment (1.3 percent vs 5.9 percent). On the other hand, government spending rebounded slightly (0.1 percent vs -0.1 percent).

Meantime, exports grew at the same pace (2 percent) while imports went up less (1 percent vs 1.9 percent).

On the production side, activities advanced at the same rate for services (0.2 percent) while slowed for industry (0.9 percent vs 1.3 percent). Meantime, the agricultural sector contracted less (-0.8 percent vs -2.4 percent).

Year-on-year, the economy grew 1.6 percent, in line with the preliminary figure but below 1.7 percent in the previous period. 

Considering whole 2017, the GDP rose by a non-seasonally adjusted 1.5 percent, above a preliminary estimate of 1.4 percent and following a 0.9 percent increase in 2016. After adjustments for the number of days worked, 2017 growth came in at 1.5 percent. It was the fastest expansion since 2010 when it climbed 1.7 percent, but still below the Eurozone's average of 2.5 percent.

Italy GDP Growth Weakest Since Q3 2016

Istat | Luisa Carvalho |
3/2/2018 11:29:29 AM