Page last updated on June 22, 2014

Economy - overview:
Italy has a diversified industrial economy, which is divided into a developed industrial north, dominated by private companies, and a less-developed, highly subsidized, agricultural south, where unemployment is higher. The Italian economy is driven in large part by the manufacture of high-quality consumer goods produced by small and medium-sized enterprises, many of them family-owned. Italy also has a sizable underground economy, which by some estimates accounts for as much as 17% of GDP. These activities are most common within the agriculture, construction, and service sectors. Italy is the third-largest economy in the euro-zone, but its exceptionally high public debt and structural impediments to growth have rendered it vulnerable to scrutiny by financial markets. Public debt has increased steadily since 2007, topping 133% of GDP in 2013, but investor concerns about Italy and the broader euro-zone crisis eased in 2013, bringing down Italy's borrowing costs on sovereign government debt from euro-era records. The government still faces pressure from investors and European partners to sustain its efforts to address Italy's long-standing structural impediments to growth, such as labor market inefficiencies and widespread tax evasion. In 2013 economic growth and labor market conditions deteriorated, with growth at -1.8% and unemployment rising to 12.4%, with youth unemployment around 40%. Italy's GDP is now 8% below its 2007 pre-crisis level.

GDP (purchasing power parity):
$1.805 trillion (2013 est.)
country comparison to the world: 12
$1.838 trillion (2012 est.)
$1.883 trillion (2011 est.)
note: data are in 2013 US dollars
[see also: GDP country ranks ]

GDP (official exchange rate):
$2.068 trillion (2013 est.)
[see also: GDP (official exchange rate) country ranks ]

GDP - real growth rate:
-1.8% (2013 est.)
country comparison to the world: 211
-2.4% (2012 est.)
0.4% (2011 est.)
[see also: GDP - real growth rate country ranks ]

GDP - per capita (PPP):
$29,600 (2013 est.)
country comparison to the world: 51
$29,800 (2012 est.)
$30,100 (2011 est.)
note: data are in 2013 US dollars
[see also: GDP - per capita country ranks ]

Gross national saving:
17.4% of GDP (2013 est.)
country comparison to the world: 94
16.9% of GDP (2012 est.)
16.4% of GDP (2011 est.)
[see also: Gross national saving country ranks ]

GDP - composition, by end use:
household consumption: 60%
government consumption: 20.6%
investment in fixed capital: 17.6%
investment in inventories: -0.3%
exports of goods and services: 30.1%
imports of goods and services: -27.9%
(2013 est.)

GDP - composition, by sector of origin:
agriculture: 2%
industry: 24.4%
services: 73.5% (2013 est.)

Agriculture - products:
fruits, vegetables, grapes, potatoes, sugar beets, soybeans, grain, olives; beef, dairy products; fish

Industries:
tourism, machinery, iron and steel, chemicals, food processing, textiles, motor vehicles, clothing, footwear, ceramics

Industrial production growth rate:
-2.7% (2013 est.)
country comparison to the world: 183
[see also: Industrial production growth rate country ranks ]

Labor force:
25.74 million (2013 est.)
country comparison to the world: 26
[see also: Labor force country ranks ]

Labor force - by occupation:
agriculture: 3.9%
industry: 28.3%
services: 67.8% (2011)

Unemployment rate:
12.4% (2013 est.)
country comparison to the world: 125
10.7% (2012 est.)
[see also: Unemployment rate country ranks ]

Population below poverty line:
29.9% (2012)
[see also: Population below poverty line country ranks ]

Household income or consumption by percentage share:
lowest 10%: 2.3%
highest 10%: 26.8% (2000)

Distribution of family income - Gini index:
31.9 (2012 est.)
country comparison to the world: 109
27.3 (1995)
[see also: Distribution of family income - Gini index country ranks ]

Budget:
revenues: $984 billion
expenditures: $1.052 trillion (2013 est.)

Taxes and other revenues:
47.6% of GDP (2013 est.)
country comparison to the world: 18
[see also: Taxes and other revenues country ranks ]

Budget surplus (+) or deficit (-):
-3.3% of GDP (2013 est.)
country comparison to the world: 130
[see also: Budget surplus (+) or deficit (-) country ranks ]

Public debt:
133% of GDP (2013 est.)
country comparison to the world: 4
126.9% of GDP (2012 est.)
note: Italy reports its data on public debt according to guidelines set out in the Maastricht Treaty; general government gross debt is defined in the Maastricht Treaty as consolidated general government gross debt at nominal value, outstanding at the end of the year, in the following categories of government liabilities (as defined in ESA95): currency and deposits (AF.2), securities other than shares excluding financial derivatives (AF.3, excluding AF.34), and loans (AF.4); the general government sector comprises the central government, state government, local government and social security funds
[see also: Public debt country ranks ]

Fiscal year:
calendar year

Inflation rate (consumer prices):
1.2% (2013 est.)
country comparison to the world: 31
3% (2012 est.)
[see also: Inflation rate (consumer prices) country ranks ]

Central bank discount rate:
0.25% (31 December 2013)
country comparison to the world: 131
0.75% (31 December 2012)
note: this is the European Central Bank's rate on the marginal lending facility, which offers overnight credit to banks in the euro area
[see also: Central bank discount rate country ranks ]

Commercial bank prime lending rate:
5.2% (31 December 2013 est.)
country comparison to the world: 150
5.22% (31 December 2012 est.)
[see also: Commercial bank prime lending rate country ranks ]

Stock of narrow money:
$1.138 trillion (31 December 2013 est.)
country comparison to the world: 6
$1.162 trillion (31 December 2012 est.)
note: see entry for the European Union for money supply in the euro area; the European Central Bank (ECB) controls monetary policy for the 17 members of the Economic and Monetary Union (EMU); individual members of the EMU do not control the quantity of money circulating within their own borders
[see also: Stock of narrow money country ranks ]

Stock of broad money:
$2.15 trillion (31 December 2013 est.)
country comparison to the world: 8
$2.134 trillion (31 December 2012 est.)
[see also: Stock of broad money country ranks ]

Stock of domestic credit:
$3.407 trillion (31 December 2013 est.)
country comparison to the world: 8
$3.438 trillion (31 December 2012 est.)
[see also: Stock of domestic credit country ranks ]

Market value of publicly traded shares:
$480.5 billion (31 December 2012 est.)
country comparison to the world: 21
$431.5 billion (31 December 2011)
$318.1 billion (31 December 2010 est.)
[see also: Market value of publicly traded shares country ranks ]

Current account balance:
-$2.4 billion (2013 est.)
country comparison to the world: 150
-$14.88 billion (2012 est.)
[see also: Current account balance country ranks ]

Exports:
$474 billion (2013 est.)
country comparison to the world: 11
$478.9 billion (2012 est.)
[see also: Exports country ranks ]

Exports - commodities:
engineering products, textiles and clothing, production machinery, motor vehicles, transport equipment, chemicals; food, beverages and tobacco; minerals, nonferrous metals

Exports - partners:
Germany 12.63%, France 11.11%, United States 6.84%, Switzerland 5.72%, United Kingdom 4.72%, Spain 4.48% (2013 est.)

Imports:
$435.8 billion (2013 est.)
country comparison to the world: 13
$453.5 billion (2012 est.)
[see also: Imports country ranks ]

Imports - commodities:
engineering products, chemicals, transport equipment, energy products, minerals and nonferrous metals, textiles and clothing; food, beverages, and tobacco

Imports - partners:
Germany 14.73%, France 8.4%, China 8.4%, Russia 6.35%, Netherlands 5.85%, Spain 4.54%, Belgium 4.09% (2013 est.)

Reserves of foreign exchange and gold:
$181.7 billion (31 December 2012 est.)
country comparison to the world: 16
$173.3 billion (31 December 2011 est.)
[see also: Reserves of foreign exchange and gold country ranks ]

Debt - external:
$2.604 trillion (31 December 2013 est.)
country comparison to the world: 8
$2.516 trillion (31 December 2012 est.)
[see also: Debt - external country ranks ]

Stock of direct foreign investment - at home:
$466.3 billion (31 December 2013 est.)
country comparison to the world: 18
$457.8 billion (31 December 2012 est.)
[see also: Stock of direct foreign investment - at home country ranks ]

Stock of direct foreign investment - abroad:
$683.6 billion (31 December 2013 est.)
country comparison to the world: 13
$653.3 billion (31 December 2012 est.)
[see also: Stock of direct foreign investment - abroad country ranks ]

Exchange rates:
euros (EUR) per US dollar -
0.7634 (2013 est.)
0.7752 (2012 est.)
0.755 (2010 est.)
0.7198 (2009 est.)
0.6827 (2008 est.)