The latest forecasts from the Italian Ministry of Finance showed that the Italian economy could contract in the third quarter of the year and continue to contract over the next two quarters.
The eurozone’s third-largest economy, hit by rising energy prices and record high inflation, is forecast to head into a technical recession, which economists have defined as two consecutive quarters of GDP decline.
The economy held up better-than-expected in the first half of the year, with GDP jumping 1.1% in the second quarter of the previous three months, but a Treasury Department economic and fiscal document released late Friday evening said the downturn had already begun.
The outlook represents a grim legacy for Georgia Meloni, who many expect to be named prime minister this month after leading the right-wing coalition to victory in the Sept. 25 election.
Source: El Iktisad
