With the latest data released, the economic roundup shows movement in key statistics.
This month’s economic roundup shows Italy saw a 0.3% dip in employment in September, with 63,000 fewer workers, bringing the total to 23.9 million, according to provisional ISTAT data. The decline impacted both permanent and short-term contracts. Compared to the previous year, employment rose by 1.3% (301,000 people), driven by a rise in permanent jobs (+331,000) and self-employed workers (+81,000), despite a fall in short-term contracts (-110,000). The employment rate slipped to 62.1%, down 0.1%.
Inability to save as shopping trolley costs rise
Consumer prices in October remained steady month-on-month, with a 0.9% annual increase, up from 0.7% in September, ISTAT reported. Food, household, and personal care costs rose 2.2%, while high-frequency purchase items grew by 1.0%.
President Sergio Mattarella underscored the need for savings incentives, marking World Savings Day by noting Bank of Italy data that half of Italians cannot save, citing inequalities and rising poverty as contributing factors.
“50% of the Italians are unable to save”, he said noting that “with grave inequalities, and the increase of poverty”, there is a risk the situation will persist. Mattarella also highlighted the value of saving for the future.
“What appears clear is the nature itself as both an individual and collective asset represented by saving, a resource for the future”, he said.
Industrial turnover down in August
August industrial turnover fell by 4.6% in value and 3.6% in volume compared to last year. On a monthly basis, seasonally adjusted turnover dropped by 0.1% in value and 0.7% in volume, reaching the lowest index levels since early 2021.
Bank of Italy Governor Fabio Panetta urged the European Central Bank (ECB) on Thursday to implement further interest-rate cuts, citing the economy’s need for support. Speaking on World Savings Day, Panetta acknowledged that the ECB’s tightening measures, introduced after Russia’s invasion of Ukraine led to an energy-price shock, had succeeded in curbing inflation. However, he warned that “monetary conditions remain tight and need further easing.”
Panetta expressed concern about the sluggish pace of the real economy, stating that, without a sustained recovery, there is a risk of inflation dropping well below the 2% target. This, he said, would present a challenge for monetary policy to address and is a situation that should be avoided.
