Italian GDP up estimated 0.3% in Q1 2024: Biz confidence falls in Apr

The domestic component (excluding inventories) contributed negatively, while the net foreign demand provided a positive contribution.

After rising in March, business confidence declined in April across all economic sectors; consumer confidence in April confirmed the decline witnessed in March, marking the lowest value since November 2023, an Istat release said.

As for the manufacturing sector, the significant decrease on a month-on-month (MoM) basis marked by the industrial production index in January was followed by stability in February and a new decline in March (0.5 per cent compared to the previous month), resulting in a sharp slowdown in Q1 2024 (minus 1.3 per cent compared to Q4 2023).

Retail sales in the country remained flat in value in Q1 2024 on a MoM basis while decreasing in volume by 0.4 per cent.

Between December 2023 and February 2024, exports in value remained stable, while imports decreased by 4.8 per cent. These trends led to a further improvement in Italy's trade balance, which returned to positive territory since late 2022, according to government statistical agency Istat.

In March, employment growth continued, involving both men and women and individuals of all ages, except for those aged 35-49. The number of employed in the month reached 23,849,000 units. The employment rate, at 62.1 per cent, showed an increase of 0.2 percentage point compared to February.

Unemployment decreased in March compared to the previous month by 2.8 per cent due to a decline mostly affecting men under 35 and over 50.

The dynamics of the consumer price index for all households in the first four months this year hovered around unity (0.9 per cent in April, according to provisional data), with the acquired growth for 2024 amounting to 0.6 per cent.

The decline in energy prices continued. Prices of energy goods have recorded significant year-on-year declines: minus 20.5 per cent in January, minus 17.3 per cent in February, minus 10.8 per cent in March and minus 12 per cent in April.

Fibre2Fashion News Desk (DS)