Italian economy grows 1% in Q2, smashing forecasts

By Aysu Bicer

ANKARA (AA) - Italy's economy expanded larger than expected, seeing 1% growth on a quarterly basis in Q2, official data showed on Friday.

The figure beat forecasts of 0.3%, with industry, services, and inventories pushing the number upwards.

On an annual basis, the economy grew 4.6%, said the Italian National Institute of Statistics, Istat.

"The quarter on quarter change is the result of a decrease of value added in agriculture, forestry and fishing and an increase in that of both industry and services," it said.

On the demand side, it added that there was a positive contribution from the domestic component (gross of change in inventories) and a negative one from net export components.