Confindustria Cuts 2025 Growth Forecast to 0.5%

Rome: The CSC research unit of Italian industrial association Confindustria has announced a revised GDP growth forecast of 0.5% for Italy this year, marking a decrease of 0.1 percentage point from its previous estimate in April. The revision reflects the challenging global and European economic environment, which has hindered Italy’s growth prospects.

According to Ansa News Agency, the CSC attributed the slowdown to a 0.1% contraction in the second quarter of this year, primarily due to a decline in exports. This downturn has been a significant factor in the reduced growth forecast. Additionally, the CSC has adjusted its growth outlook for 2026, lowering it to 0.7% from the 1% predicted in April.

The CSC emphasized the need for strategic interventions to stimulate Italy’s economic growth, given the anticipated sluggish GDP growth. It called for unlocking financial resources currently held in non-productive banks and urged the formulation of a 2026 budget that continues to stimulate productive investment. This approach, the CSC suggests, is essential to revitalize the country’s economic growth trajectory.