Sardinia, Pnrr effect: consumption falling but GDP growing
The Bank of Italy report highlights economic growth for 2023 limited by the slowdown in internal demand componentsPer restare aggiornato entra nel nostro canale Whatsapp
In 2023, Sardinia's economy showed signs of slowing. According to estimates based on the Bank of Italy's quarterly indicator of the regional economy (ITER), the island's GDP grew by 0.7% at constant prices, a figure that reflects the general trend of the South.
The limited economic growth was mainly influenced by the slowdown in the internal components of demand. Household consumption and investment fell , while weak international trade led to a contraction in foreign demand for regional production. However, a positive element was the significant contribution made by the progressive execution of the works linked to the National Recovery and Resilience Plan (PNRR) .
Inflation remained high in 2023, continuing to erode the purchasing power of Sardinian families . But, during the year, there was a slight reduction in inflation due to the reduction in the prices of energy goods. Furthermore, the increase in interest rates , adopted to moderate inflation, has led to an increase in the cost of credit .
Unlike previous cycles of restrictive monetary policy, Sardinia's production sector faced the rise in interest rates with a more solid financial structure. This was possible thanks to a lower level of debt, greater profitability and the availability of abundant liquid reserves.