Italy statistics bureau cuts 2026 GDP growth forecast to 0.7%

ROME - Italy's economy will grow by 0.7% this year, national statistics bureau ISTAT said on Friday, trimming a previous forecast of 0.8% made in December.

In its twice-yearly economic outlook, ISTAT said gross domestic product (GDP) in the euro zone's third-largest economy would expand by 0.7% in 2027.

It estimated an average jobless rate of 5.5% this year, down from a 6.1% estimate in December, and said the jobless rate would remain at 5.5% in 2027.

Prime Minister Giorgia Meloni's government last month cut its growth outlook to 0.6% for both this year and 2027, reflecting surging energy prices and Middle East tensions, from previous targets of 0.7% and 0.8% respectively.

Italian GDP rose 0.5% in 2025, marking a third consecutive year of growth below 1%.

(Reporting by Antonella Cinelli, editing by Giulia Segreti)

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This story was originally published June 5, 2026 at 4:38 AM.