The IMF on Tuesday hailed the resilience of the Italian economy and the government's management of the public finances in a statement on the completion of its Article IV Consultation for Italy.
    "Italy's economy has continued to expand at a moderate pace," it said.
    "Real GDP grew 0.7 percent in 2024, supported by spending under the National Recovery and Resilience Plan (NRRP) and a positive contribution from net exports.
    "Despite heightened global trade policy uncertainty, economic activity in the first quarter of 2025 remained resilient amid continued investment growth and a robust labor market".
    It noted that the 2024 public-sector deficit and debt ratios turned out better than projected.
    "Directors commended the strong fiscal performance last year and the return to a primary surplus," the Fund said.
    "They nonetheless noted that public debt remains persistently high and emphasized the need for sustained consolidation to place its trajectory on a clear downward path.
    "In this regard, they welcomed the authorities' commitment to a medium‑term fiscal plan that balances debt sustainability considerations and investment needs and aligns with the EU fiscal framework.
    "To support these efforts, Directors called for continuing to improve tax compliance, rationalizing tax expenditures, and replacing inefficient subsidies with productivity‑enhancing measures".

ALL RIGHTS RESERVED © Copyright ANSA