Published April 3, 2024
While Germany’s economy is slowing down, Italy is seeing sustained growth. However, this is largely attributed to subsidies and increased debt rather than Prime Minister Giorgia Meloni’s economic strategies.
While governments in Rome were accustomed to announcing gloomy growth forecasts and dismal debt rankings in the years preceding the pandemic, the country is now rapidly emerging as Europe’s growth engine.
In the last quarter, the Italian economy expanded by 0.6%, while the German economy contracted by 0.3% during the same period. Beyond this brief three-month snapshot, other indicators for Europe’s third-largest economy are remarkable.
“The Italian economy has experienced a growth of 3.8% since 2019,” stated Jörg Krämer, chief economist at Commerzbank. He noted that this growth is “twice as much as the French economy and five times more than the German economy,” he informed DW.
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SOURCE: www.myind.net
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For Prime Minister Giorgia Meloni and the country’s economy things are currently looking up
Published April 3, 2024
While Germany’s economy is stalling, Italy is experiencing continued growth. But this has little to do with PM Giorgia Meloni’s economic policies and everything to do with subsidies and new debt.
Mauro Congedo has been finding and renovating small architectural treasures with his brother and father for 25 years in Salento — a peninsula in the southeast of Italy that makes up the “heel” of the country.
The apartments and houses that Congedo restores in this rather remote region are now suddenly finding buyers from Germany and England. “Things are going well again,” said the 50-year-old architect.
During the coronavirus pandemic, business almost came to a standstill. But what happened afterward in Italy in the industry was “crazy” he says, dragging out the “a” for a long time. But look deeper and Congedo isn’t the only one enthusiastic about the economic recovery in Italy.
Italy goes from problem child to head of the class
While governments in Rome were used to announcing depressing growth forecasts and poor debt rankings in the years before the pandemic, the country is now quickly becoming Europe’s growth engine.
In the last quarter, the Italian economy grew by 0.6%, while the German economy shrunk by 0.3% in the same period. Beyond this short three-month snapshot, other figures for Europe’s third-largest economy are impressive.
“The Italian economy has grown by 3.8% since 2019,” said Jörg Krämer, chief economist at Commerzbank. That is “twice as much as the French economy and five times more than the German economy,” he told DW.
In Germany, the prospects are indeed looking bleak. The Organization for Economic Cooperation and Development (OECD) predicts growth of 0.3% this year for Germany. Leading German experts are only expecting growth of 0.1%. Italy, on the other hand, is expected to grow by 0.7% this year, according to the OECD.
The Italian stock market is also benefiting from the optimistic mood. The FTSE MIB benchmark index, which is made up of 40 big companies, rose by around 28% last year, more than any other European stock market indices. Italy is on track for more growth.
