Overview: Since World War II the economy has changed from one based on agriculture into the West's sixth-largest industrial economy. The country is still divided into a developed industrial north, dominated by large private companies and state enterprises and an undeveloped agricultural south. Services account for 59% of GDP, industry 36%, and agriculture 4%. Most raw materials needed by industry and over 80% of energy requirements must be imported. The economic recovery that began in mid-1983 has continued through 1988. During the period 1984-88, the economy grew at an annual average rate of 3%--higher than that of France or the FRG.

GDP: $814 billion, per capita $14,200; real growth rate 3.9% (1988)

Inflation rate (consumer prices): 5.0% (1988)

Unemployment rate: 12% (1988)

Budget: revenues $218 billion; expenditures $311 billion, including capital expenditures of $54 billion (1987)

Exports: $128.6 billion (f.o.b., 1988); @m5commodities--textiles, wearing apparel, metals, transportation equipment, chemicals; @m5partners--EC 56%, US 10%, OPEC 5%

Imports: $138.5 billion (c.i.f., 1988); @m5commodities--petroleum, industrial machinery, chemicals, metals, food, agricultural products; @m5partners--EC 56%, OPEC 8%, US 5%

External debt: NA

Industrial production: growth rate 5.5% (1988)

Electricity: 54,000,000 kW capacity; 197,450 million kWh produced, 3,440 kWh per capita (1988)

Industries: machinery and transportation equipment, iron and steel, chemicals, food processing, textiles, motor vehicles

Agriculture: fruits, wine, vegetables, cereals, potatoes, olives; 95% self-sufficient; food shortages--fats, meat, fish, eggs

Aid: donor--ODA and OOF commitments (1970-86), $14.1 billion

Currency: Italian lira (plural--lire); 1 Italian lira (Lit) = 100 centesimi

Exchange rates: Italian lire (Lit) per US$1--1,344.2 (January 1989), 1,301.6 (1988), 1,296.1 (1987), 1,490.8 (1986), 1,909.4 (1985)

Fiscal year: calendar year

NOTE: The information regarding Italy on this page is re-published from the 1989 World Fact Book of the United States Central Intelligence Agency. No claims are made regarding the accuracy of Italy Economy 1989 information contained here. All suggestions for corrections of any errors about Italy Economy 1989 should be addressed to the CIA.