Italy ISTAT Forecasts 0.7 Percent GDP Growth for 2026

National statistics bureau ISTAT has trimmed its economic growth forecast for Italy to 0.7 percent this year and next. The agency also lowered its unemployment rate projection to 5.5 percent while noting that geopolitical tensions in the Middle East continue to create significant uncertainty.

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Italy will see its economy grow 0.7% in 2026 and 2027, according to national statistics bureau ISTAT. ISTAT trimmed its previous 2026 forecast of 0.8% in its twice-yearly economic outlook released Friday. The new projections follow a 0.3% GDP rise in the first quarter that exceeded previous expectations.

### ISTAT Forecasts Diverge from Global Peers The 0.7% growth target is more optimistic than estimates from major international institutions. The European Commission, IMF, OECD, and the Bank of Italy all project growth between 0.5% and 0.6% for the next two years. ISTAT noted the firmer-than-expected 0.3% GDP rise in the first quarter supported its slightly higher outlook.

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