Economic
Banca d'Italia revises 2026 Italian GDP growth to 0.5%, down from prior forecast
Banca d'Italia new projections cut 2026 Italian GDP growth to 0.5%, reflecting heightened risks of stagnation and inflation pressure.
Banca d'Italia has published updated macro‑economic projections for the period 2026‑2028, estimating Italian GDP growth at 0.5% for 2026 and again 0.5% for 2027, slightly below earlier expectations. The revision downward of about half a percentage point over the three‑year horizon is mainly attributed to higher energy prices and persistent inflationary pressures. The bank warns that if oil prices spike above 150 USD per barrel and gas remains above 120 euro per megawatt‑hour, Italy could face near‑zero growth or even a mild contraction (‑0.6% in 2027) in a more adverse scenario, with inflation briefly surging to around 4.5%, eroding household purchasing power and weakening consumption and investment. The authorities flag increased uncertainty, deteriorating confidence, and potential tightening of financial conditions as key economic‑stability risks over the coming months.
- Status
- active
- Location
- Italy
- Date added
- 2026-04-10 19:53 UTC
- Added by
- nikieuropeapdrmis
- Last updated
- Source published dsate/time
- Not provided
- Event date/time
- 2026-04-10
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