Giorgia Meloni: Italy’s economy could grow by 1% in 2026 despite difficulties

Italy’s Prime Minister, Giorgia Meloni, estimates that the country’s economy could grow by approximately 1% in 2026, according to an interview with Il Foglio. The statement comes as Italy seeks to accelerate its economic recovery despite high energy costs, low productivity and very high public debt.

Meloni said that data from the first six months of the year indicate 1% growth, a level comparable to or even higher than that recorded in the euro area. However, she acknowledged that in recent years the Italian economy has struggled to achieve sustained and consistent growth. The prime minister said that measures adopted by the government to reduce these problems would produce visible results only in the medium term.

In April, the government in Rome estimated economic growth of 0.6% for 2026. Last month, Italy’s independent budget watchdog, the UPB, revised its estimate to 0.9%.

Official data show that Italy’s GDP grew by 0.2% in the second quarter of 2026, following growth of 0.3% in the first three months. Last year, the euro area’s third-largest economy recorded growth of just 0.5%, while GDP did not exceed 1% in the past three years, despite European recovery funds provided after the pandemic.

Weak economic performance is also putting pressure on public finances. The IMF estimates that Italy will overtake Greece in 2026 and have the highest government-debt-to-GDP ratio in the euro area: 138.4%, compared with 136.9% for Greece.