GDP +0.2% and inflation at 3.3%, Istat data from August

The Italian economy continues on a path of moderate growth in 2026, supported above all by domestic demand and services. In the second quarter, gross domestic product increased by 0.2% compared to the first three months of the year and by 1% on an annual basis. At the same time, however, inflation rose to 3.3% in August, mainly due to the new increase in energy prices.

GDP, growth confirmed

According to data released by Istat on 1 September 2026, Italian GDP, calculated in volume and corrected for calendar and seasonality effects, recorded growth of 0.2% in the second quarter compared to the previous quarter. The comparison with the same period of 2025 shows an increase of 1%.

The estimate confirms the advances released at the end of July. For the whole of 2026, the growth achieved, i.e. that which would be obtained assuming a zero change in the remaining quarters of the year, remains equal to 0.8%.

Growth in the second quarter was mainly supported by domestic demand:

• National final consumption: +0.3%
• Gross fixed investments: +0.3%
• Spending by families and private social institutions: +0.4%

The contribution of national demand net of inventories was positive by 0.3 percentage points. Household consumption contributed 0.2 points and investments 0.1 points. The change in inventories also provided a positive contribution, equal to 0.2 points. On the contrary, net foreign demand subtracted 0.3 points from GDP growth. Imports increased by 1.7%, more than exports, which grew by 0.8%.

The services that are better and those that are worse

In the second quarter, added value showed differentiated trends by sector. Agriculture and industry in the strict sense recorded negative cyclical variations, -0.2% and -1.0% respectively. The industry as a whole recorded a decline of 0.5%, partially offset by growth in construction (+1.5%).

Services, however, continue to expand with an overall increase of 0.4%. In detail:

• Information and communications: +1.2%
• Trade, transport, accommodation and catering: +0.7%
• Professional activities, research, support services, artistic and entertainment: +0.5%
• Financial, insurance and real estate activities: +0.1%
• Public administrations, defense, education and health: 0.0%

Inflation at 3.3% in August

On the price front, the picture has become more delicate. Based on preliminary estimates from Istat, in August the national consumer price index for the entire community, including tobacco, increased by 0.5% compared to July and by 3.3% compared to August 2025. In July the trend inflation was equal to 2.9%.

The rise is mainly linked to energy goods. Energy prices overall increased 17% year-on-year, compared to 11.6% in July:

• Regulated energy: +18.8%
• Unregulated energy: +16.9%

Among the individual items, the increase in prices of city gas and natural gas on the protected market stands out, which went from 21.8% to 31.3%. Fuels also accelerated: petrol increased by 16.3% on an annual basis, diesel for transport by 26.7% and heating oil by 31.7%.

Unc: “+1,184 euros for families”

A blow for those returning from holidays and will now have to pay the electricity bills, after the record consumption due to the use of air conditioners in these very hot months. For the National Consumers Union, for a couple with two children, considering the trend inflation of 3.3% there is an overall increase in the cost of living of 1184 euros on an annual basis.

Below, the annual increase by family type and expenditure divisions (values ​​in euros) on trend inflation in August: