2025 GDP Up 0.6%, Uncertainty Over Wars and Tariffs – BoI

Rome: Italian GDP grew by 0.3% in the first quarter compared to the previous quarter, thanks to increased consumption and investment and, to a lesser extent, US demand, according to the Bank of Italy’s latest economic bulletin, out Friday. It said that “positive signs emerged for manufacturing activity, which nevertheless remains exposed to instability in the international context.”

According to Ansa News Agency, the Bank of Italy reported that “GDP slowed in the second quarter.” The bank’s projections indicate that GDP will grow by 0.6% in 2025 and by around 0.8% on average over the following two years.

The forecasting framework is subject to significant uncertainty, particularly due to evolving geopolitical and trade tensions. The situation continues to be closely monitored as these factors could impact the economic growth forecast significantly.