Figures from the National Institute of Statistics (ISTAT) showed that retail sales increased by 0.1% in February after being unchanged in January (revised from -0.1%). Economists had expected an increase by 0.2%. Sales of non-food products increased by 0.2% compared to January, while food sales rose by 0.1%. Meanwhile, over the three-month period (through February), retail sales rose by 0.1%.
On an annual basis, retail sales increased by 2.4% in February, accelerating sharply compared to January (+1.0%). It was the 35th consecutive increase. Consensus estimates suggested an increase of 0.5% per annum. Food sales remained unchanged, while non-food grew by 0.2%.
The data also showed that in February, large-scale distribution was up 4.0% per annum, small-scale distribution grew by 1.0% per annum and non-store retail sales dropped by 1.6% per annum.
Italy's updated growth and debt forecasts, published yesterday, showed that the country lowered its 2024 GDP growth projection to 1.0% from 1.2% predicted in September last year. Italy also downgraded its 2025 GDP growth forecast to 1.2% from 1.4% predicted in 2023. Despite the latest cuts in Italy's GDP growth projections for 2024 and 2025, both forecasts are still above those of the Italian central bank, the European Commission (EC), and the International Monetary Fund (IMF), which all suggest growth below 1% in each of the two years.