Italian Economy Stagnates in Q3

In the third quarter of 2013, Italy's GDP stagnated, ending eight straight quarters of contraction. Strong inventory accumulation led to an upward revision of the GDP, from a negative 0.1 percent growth for the three months ended in September.

Second quarter growth was unrevised at -0.3 percent quarter-on-quarter. 

While consumer spending contracted less in the third quarter (-0.1 percent from -0.3 percent in the previous three-month period), government consumption showed no growth (0.0 percent). Gross fixed investment fell 0.1 percent after stagnating in the June quarter and net exports dropped by 0.4 percent, following a meager 0.4 percent rise in the previous quarter.

In contrast, inventory accumulation surged 0.6 percent, recovering from a 0.4 percent drop in the preceding period.  

On a year-on-year basis, the GDP shrank by 1.8 percent, revised up from a preliminary estimate of -1.9 percent. Second quarter growth was unrevised at -2.2 percent.  

Italian Economy Stagnates in Q3

Joana Taborda |
12/10/2013 10:55:01 AM