The Italian government posted a budget deficit of EUR 153.5 billion, or 8 percent of the GDP in 2022, narrowing slightly from the upwardly revised 9 percent in the previous year. The result was well above the government’s fiscal target of a 5.6 percent shortfall, underscoring Italy’s fiscal problems as drastic tax break programs and pandemic stimulus were accounted for upfront in new revisions. The energy crisis during the year drove the Italian government to aggressively increase spending in stimulus and aid for households and businesses, magnifying Italy’s fragile fiscal health. While the debt/GDP ratio for the country fell by 5.2 percentage points from the previous year to 144.7 percent, it remains well above the Eurozone average. Prime Minister Giorgia Meloni’s new government targets a fiscal deficit of 4.5 percent of GDP this year. source: National Institute of Statistics (ISTAT)
Government Budget in Italy averaged -3.85 percent of GDP from 1995 until 2022, reaching an all time high of -1.30 percent of GDP in 2007 and a record low of -9.70 percent of GDP in 2020. This page provides the latest reported value for - Italy Government Budget - plus previous releases, historical high and low, short-term forecast and long-term prediction, economic calendar, survey consensus and news. Italy Government Budget - data, historical chart, forecasts and calendar of releases - was last updated on August of 2023.
Government Budget in Italy is expected to reach -3.50 percent of GDP by the end of 2023, according to Trading Economics global macro models and analysts expectations. In the long-term, the Italy Government Budget is projected to trend around -3.30 percent of GDP in 2024 and -3.00 percent of GDP in 2025, according to our econometric models.