Survey on Inflation and Growth Expectations - 2024 Q4

According to the survey conducted between 20 November and 12 December 2024 among Italian industrial and non-financial service firms with 50 or more employees, in the fourth quarter of 2024 opinions regarding the general state of the economy worsened. Firms' assessments point to a weakening in demand, especially from abroad and in the service sector. The outlook for firms' short-term operating conditions is unfavourable overall, as it is still affected by economic and political uncertainty and, to a lesser extent, by fears over energy commodity price trends and, especially among exporting companies, over international trade policies.

Firms expect investment to expand in the first half of 2025, although they still see investment conditions as unfavourable. Credit access conditions are deemed unchanged and the overall liquidity position is still considered satisfactory. Most firms expect to keep their staffing levels unchanged.

The growth in selling prices stabilized at low levels in services and in industry excluding construction. It slowed in construction, though it remained stronger than in the other sectors, and is expected to remain broadly stable across all sectors over the next 12 months, while wage increases are expected to be moderate. Firms' consumer price inflation expectations fell across all time horizons.