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Italy's GDP in 2020 to shrink back to same level as 23 years ago: Report

New Delhi
October 12, 2020

A report by the General Confederation of Italian Industry, commonly known as Confindustria, predicted that the country's GDP will shrink by 10 % in 2020, setting economic development back 23 years.

The prediction was made in Confindustria's latest report on Saturday. The organization forecast 4.8 % economic growth in the next year, not considering the government's budget for the new fiscal year and EU funds.

The report also predicted the employment rate to drop by 1.8 %, which means the country will shed about 4,10,000 jobs.

Confindustria in its report said that the government's capability to make good use of recovery funds provided by the EU and other accessible funds to offset the impact of the COVID-19 outbreak will become a watershed in the future trend of the Italian economy.

Italy on Saturday reported an additional 5,724 confirmed cases of COVID-19 over the previous 24 hours, its biggest one day jump in confirmed COVID-19 cases since March.

Minister of Economy and Finance Roberto Gualtieri said Confindustria's report is very close to estimates by the government.