Italy - Top-quality leadership and manufacturing drive economic bounce-back

Over the past 75 years, Italy's economy has transformed from one of the weakest in Europe to one of the strongest, supported by its powerhouse manufacturing and tourism industries and sought-after Made in Italy products. The country was one of the first and hardest-hit in Europe during the Covid-19 pandemic, but its economy has also rebounded strongly in the months since, with GDP growth hitting 6.5% in 2021, and projected to reach 4.3% this year.

Mario Draghi

Prime Minister of Italy

At more than €200 billion, Italy's pandemic recovery fund spending will be among the highest in Europe. National economic stability is further underpinned by the country's experienced, level-headed prime minister, Mario Draghi, who presided over the European Central Bank during the 2011/12 eurozone crisis. As Draghi made clear during a February 2022 speech, Italy's approach to economic recovery emphasizes investment and infrastructure above all else:

"Italy's long-term growth depends on our ability to implement the right reforms and make the necessary investments today. The National Recovery and Resilience Plan is an historic opportunity to tackle problems that have remained unresolved for decades, such as inadequate infrastructure, generational inequalities and gender inequalities."

This investment will go a long way towards supporting the private sector. As a leader in metallurgy, chemicals, food and textiles, Italy has benefitted from decades of liberal trade policies and soaring export revenues. According to data from the United Nations Conference for Trade and Development, merchandise exports rose by 33% between 2005 and 2020 to hit $496 billion.