Istat cuts Italy’s GDP growth forecast for 2018

Italy’s GDP is expected to increase by 1.1% this year in real terms, data from the country’s statistics bureau Istat showed. The latest figure indicated a decline from 1.4% forecasted in May.

In 2018, exports and imports are expected to increase by 1.6% and 2.6%, respectively, and both are expected to accelerate in 2019 by 3.2% and 3.5% respectively. Residential household consumption expenditure is expected to grow by 0.9% in 2018 and 1.2% in 2019, while the investment growth is expected to progressively decelerate both in 2018 and in 2019, respectively by 3.9% and 3.2%.

At the same time, the rate of unemployment is projected to decrease by 10.5% in the current year and 10.2% next year.

In 2019, meanwhile, GDP is estimated to increase by 1.3% in real terms driven by the contribution of domestic demand, which is expected to accelerate by 1.3%.