According to the latest data released by the Italian National Bureau of Statistics, the average monthly consumption expenditure of Italian households in 2022 was 2625 euros, an increase of 8.7% from 2415 euros in 2021. However, due to high inflation (+8.7%), real growth is almost zero. In addition, in real terms, the expenditure of poor households decreased by 2.5%, while the expenditure of wealthy households increased by 1.8%.
According to Italian news agency Ansa, data shows that in August 2023, Italy's foreign trade volume experienced cyclical growth, with exports (+5.1%) performing more strongly than imports (+3.8%). The monthly growth of exports is due to sales growth to the EU (+3.5%) and non EU (+6.9%) regions. The quarter from June to August showed a slight increase in exports (+0.3%) compared to the previous quarter, while imports decreased by 2.0%. The expected trade balance in August is 2.07 billion euros (last August was 9.508 billion euros).
The National Bureau of Statistics commented that after the decline in July, exports in August showed a growth trend, mainly due to an increase in exports of energy, non durable consumer goods, and capital goods. Compared to the same period last year, both export volume and product export volume have resumed growth, driven by sales to non EU markets, while sales to the EU region have shown a negative growth trend since April 2023, involving important trading partners such as Germany. Imports have continued to decline year-on-year for the sixth consecutive month: the negative economic growth trend is still continuing, and the trend decline is further expanding, mainly influenced by energy and intermediate product prices.
The Italian Consumer Association stated that the latest data on household spending confirms the significant impact of high prices on Italian households' consumption in 2022. The abnormal increase in prices in Italy has led to an average consumer expenditure of 2625 euros per month, an increase of 8.7% year-on-year. However, this increase is entirely determined by the rise in retail prices, as household consumption is still at its lowest point in real value, indicating that Italian households are facing economic difficulties. In addition, the consumption gap between northern and southern Italy is widening in a worrying manner. For example, the monthly expenditure of households living in Borzano is twice that of households living in Calabria (3670 euros to 1839 euros).
Association President Carlo Rienzi stated that the relevant data once again indicates a serious income imbalance among Italian households. High prices have forced poor households to reduce their actual consumption by 2.5%, while wealthy households have not been affected by inflation and have instead increased their spending by 1.8%. The government should reflect on this in order to take the most effective measures to support the purchasing power of Italian households.
The National Bureau of Statistics stated that Italian households are more frugal in their food expenditures to adapt to the challenge of high inflation. In addition, households believe that the most restricted consumption items are clothing and footwear, while the most restricted items in the previous two years were tourism and vacation consumption. Maintaining a relatively stable expenditure is related to healthcare purchasing behavior and fuel and energy expenditure.
(The content comes from the European Times website, compiled by Li Shuo, and the image source is Pixabay. Please specify when reprinting)