Overview

• Italy's GDP increased by 0.3% quarter-on-quarter and 0.6% year-on-year in Q1 2025, according to Istat's preliminary estimates.
• Agriculture, silviculture, fishing, and industry sectors contributed to growth, while the services sector remained stagnant.
• Domestic demand positively impacted GDP, but net external demand reduced overall growth during the quarter.
• Istat's calendar-adjusted data accounts for one fewer working day in Q1 2025 compared to the previous quarter and two fewer than Q1 2024.
• The growth rate surpasses Germany's 0.2% GDP increase, with analysts suggesting potential export acceleration ahead of impending US tariffs.