Finance

Italy's economy unexpectedly falls in second quarter

Published by Global Banking & Finance Review

Posted on July 30, 2025

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· Last updated: January 22, 2026

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Italy's economy unexpectedly falls in second quarter
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ROME (Reuters) -The Italian economy fell unexpectedly in the second quarter from the previous three months, preliminary data showed on Wednesday. On a year-on-year basis, gross domestic product in the

Italy's economy unexpectedly falls in second quarter

Overview of Italy's Economic Performance

ROME (Reuters) -The Italian economy fell unexpectedly in the second quarter from the previous three months, preliminary data showed on Wednesday.

On a year-on-year basis, gross domestic product in the euro zone's third largest economy was up 0.4% in the second quarter, national statistics bureau ISTAT said.

A Reuters survey of 23 economists had forecast a 0.1% rise quarter-on-quarter and a 0.6% increase year-on-year.

Quarterly GDP Changes

ISTAT gave the following details on Italian GDP for the second quarter of 2025 and the last previous two quarters:

Q2 2025 Q1 2025 Q4 2024

Yearly GDP Comparison

Q/Q (pct change) -0.1p 0.3 0.2

Y/Y (pct change) 0.4p 0.7 0.6

p=preliminary

(Reporting by Antonella Cinelli, editing by Cristina Carlevaro)

Key Takeaways

  • Italy's GDP fell 0.1% in Q2 2025.
  • Year-on-year GDP rose by 0.4%.
  • Economists predicted a 0.1% quarterly rise.
  • ISTAT provided preliminary data.
  • Italy is the euro zone's third largest economy.

Frequently Asked Questions

What is a quarterly GDP change?
A quarterly GDP change measures the percentage increase or decrease in a country's GDP from one quarter to the next, reflecting short-term economic performance.

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