Istat estimates GDP +0.2% in Q1, +0.7% year-on-year

In the first quarter, GDP, adjusted for calendar and seasonally adjusted effects, grew by 0.2 per cent compared to the previous quarter and by 0.7 per cent in trend terms. This is the provisional estimate released by Istat.

The assumed growth for 2026 is 0.5%. This is what would be achieved if there were no economic change in the remaining quarters of the year.

The first quarter of the year had one fewer working day compared to the previous quarter and the same number of working days compared to the first quarter of 2025. The change in the economy is the result of an increase in value added in the service sector and a decrease in agriculture and industry. On the demand side, there is a negative contribution of the domestic component, before inventories, and a positive contribution of the net foreign component, is the comment of Istat.

The German economy grew slightly at the beginning of the year, despite high geopolitical uncertainties. GDP increased by 0.3% in Q1 2026 compared to Q4 2025 - adjusted for price, seasonality and calendar effects - after an increase at the end of 2025 (revised to +0.2% in Q4 2025 compared to the previous quarter; previously: +0.3%).

As the Federal Statistical Office (Destatis) also reports, both private and public consumption expenditure were higher in the first quarter of 2026 than in the previous quarter. According to preliminary data, exports also increased. Compared to the previous year, GDP in the first quarter of 2026 was 0.5 % higher in real terms than in the first quarter of 2025. Adjusted for price and calendar effects, the increase was 0.3 %.