Analysis and Studies - Country Analysis
Italy: a look at the market!
June 1st 2022
With Italy’s Republic Day (2nd June) approaching, we thought it would be interesting to share with you some interesting facts about the country’s economy.
Extending in the center of the Mediterranean Sea, Italy is located in Southern Europe and it shares boarders with Austria, France, Slovenia and Switzerland. The country is a founding member of NATO as well as the European Economic Community (EEC) and its successors, the EC and EU. It is also one of the most visited nations in the world; millions of people visit Italy each year for its mountains or seas, considering its 7.914 kilometers of coastline. It is well-known for its culinary culture as well as its beautiful cities, which draw visitors from all over the world on a daily basis.
The country developed after the second world war and it rapidly shifted from being one of the poorest countries in Europe, to be an economic super power with a GDP of 2,322 billion. It is the 3th largest economy of the euro zone, but the high public debt leaves it quite vulnerable to financial markets. Covid19 pandemic has had a significant impact on Italy’s economy, with a GDP’s decrease of 8.9% in 2020, compared to 2019. Even with a significant growth in 2021, the numbers remain below pre-pandemic levels.
Despite its ups and downs, Italy remains the 2nd country in the EU for industrial production, right after Germany.
In 2020, the most important sectors of the Italian economy were wholesale and retail commerce (20.1%), transportation, accommodation, and food services (19.5%), and public administration, defense, education, human health, and social work activities (17.5%). Intra-EU trade accounts for 51% of Italian exports (Germany 13%, France 10%), with the remainder going to the US and Switzerland (6%). Imports come from 58% of EU Member States (Germany 16%, France 8%, and the Netherlands 6%), China 9%, and the United States 4%.
Italy's most valued exports are packaged medications ($26.7 billion), automobiles ($14.8 billion), vehicle parts ($12.5 billion), refined petroleum ($8.26 billion), and blood, antisera, vaccines, toxins, and cultures ($7.75 billion). Country’s top imports are crude petroleum ($25.5 billion), cars ($22.5 billion), packaged medicaments ($18.7 billion), gas ($10.6 billion), and gold ($9.17 billion).
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