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Italy's GDP Fell By A Record Of 12.4% In Q2 2020

Italy's GDP Fell By A Record Of 12.4% In Q2 2020

In the second quarter of 2020, the Italian economy shrank by 12.4% compared to the previous three months, according to preliminary data from the statistical agency Istat.

That is a record reduction since the beginning of calculations in the 1960s. Italy was among the countries most affected by the pandemic. Quarantine measures were introduced there on March 9, and their easing began on May 4.

Analysts, on average, expected a more significant drop in GDP in the past quarter - by 15%, according to Trading Economics.

The economy declined by 17.3% in April-June compared to the same period in 2019, with a forecast of 18.7%. The drop was also a record.

According to the revised data, in the first quarter, GDP fell by 5.4% in quarterly terms and by 5.5% in annual terms. Previously, the reduction was estimated at 5.3% and 5.4%, respectively.

In the second quarter of 2020 the seasonally and calendar adjusted, chained volume measure of Gross Domestic Product (GDP) decreased by 12.4 per cent with respect to the previous quarter and by 17.3 per cent over the same quarter of previous year.

The second quarter of 2020 has had one working day less than both the previous and the same quarter of previous year.