Italy’s economy experienced modest growth in the second quarter of 2026, with its GDP increasing by 0.2% compared to the previous quarter. This growth aligns with earlier forecasts and marks a 1.0% rise year-on-year. The slight uptick was driven by a 0.2% rise in both household and nonprofit consumption, as well as gross fixed investment, according to economic data.
While imports surged by 1.5% and exports grew by 1.0% during the quarter, net foreign demand had a negative impact on Italy’s overall economic progress. However, domestic demand contributed positively, bolstering the economy amid challenging international conditions.
The services sector played a crucial role in sustaining economic growth, expanding by 0.4% and helping to offset declines in other areas of production. The agriculture, forestry, and fishing sectors saw a slight decline of 0.1%, while the industry sector faced a more significant contraction of 0.6%.
Looking forward, the carry-over effect for Italy’s GDP growth in 2026 is estimated to be 0.8%, indicating some momentum as the country navigates the economic landscape. The data underscores the importance of domestic demand and the resilience of the services sector in supporting Italy’s economic growth amid global challenges.
