Weak domestic demand pushes Italy's CPI down despite exports recovery

  • World
  • Saturday, 17 Oct 2020

ROME, Oct. 16 (Xinhua) -- Prices in Italy fell for the fifth consecutive month in September, Italy's National Institute of Statistics (ISTAT) revealed on Friday, as weak domestic demand pushing prices lower despite a positive trend for Italian exports.

ISTAT said that the consumer price index (CPI), a main gauge of inflation, slid by 0.7 percent in September compared to August, and down by 0.6 percent year-on-year.

The trend of lower prices comes despite indications that Italy's export sector is showing signs of recovery. Italy is the second largest exporter in Europe, only behind Germany.

ISTAT said that most of the increase in exports came from trading partners in the European Union (EU), where the value of exports rose 5.3 percent compared to July. Trade outside the 27-nation bloc also rose, but by only 1.2 percent.

Italian exports to China were one of the few bright spots among the exports to non-EU trading partners, rising 4.7 percent compared with the previous month, helping to offset an 11.5-percent drop in exports to the United States and a 20.0-percent decrease in exports to Russia.

Exports over the first eight months of the year were still down by 13.3 percent compared to the same period in 2019, due mostly to lower production and falling international demand tied to the coronavirus pandemic.

Article type: metered
User Type: anonymous web
User Status:
Campaign ID: 18
Cxense type: free
User access status: 3

Did you find this article insightful?


Across the site