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Why attract investment?

Attracting foreign investment is among the strategic priorities of the Italian Government, which is strongly committed to creating a favorable environment for foreign investors.

Italy is the third largest economy in the Eurozone with a domestic market of 60 million people and a GDP at current prices of USD 2.33 billion (IMF, April 2024). Italy is one of the main gateways to a market of 500 million consumers in the European Union and 270 million consumers in North Africa and the Middle East.

Italy is the seventh largest manufacturing economy in the world (by manufacturing value added, USD 319 billion, in 2021) and the fifth largest country in the world by total exports. The value of Italian exports in 2023 reached EUR 626 billion.

Italy is the first country among the G20 economies in terms of industrial diversification. In addition, it is a leader in manufacturing, agriculture and tourism and has one of the highest trade surpluses in the world thanks to its specialisation not only in traditional ‘made in Italy’ sectors such as fashion, agri-food, wine, furniture and ceramic tiles, but also in other medium-high and high-tech sectors such as mechanical engineering, shipbuilding, motor yachts, aerospace, sports cars and pharmaceuticals. Italy is among the countries with a large positive trade balance, ranking 6th among G7 and G20 countries with USD 37 billion, after China, Germany, Russia, Brazil and Australia, and 5th in manufacturing trade balance (USD 116 billion, 2022).

Italy is home to numerous research and development centers of excellence, more than 150 innovative clusters. There are currently 14 Italian universities ranked among the 500 best in the world and, with reference to some leading faculties, four of our national universities are ranked among the 10 best in the world (QS World University Rankings by Subject 2023). Italy is ranked first in the world for Classical Studies and Ancient History (La Sapienza University of Rome), seventh for Architecture and Art & Design (Politecnico di Milano) and Marketing (Bocconi), ninth for Business & Management (Bocconi) and Mechanical Engineering (Politecnico di Milano). Italian researchers actively participate in or manage European R&D centres and networks, such as CERN‘s Particle Physics Laboratory and facilities of high competence and transnational interest in sectors such as aerospace and earth observation. Italy has a prominent role in the international scientific community and scientific production has grown faster than most other countries. In particular, Italy is the sixth most prolific nation in the world in terms of the number of scientific publications in various fields. Our country also ranks 9th in the top 10 of scientific research in terms of publications produced in the field of Artificial Intelligence (ranking led by China, the United States, the United Kingdom and India, considering the period between 2018 and 2023).

Italian small and medium-sized enterprises (SMEs) are among the most innovative in Europe: the percentage of SMEs that have introduced product and process, strategic and organizational innovations is higher than the EU average.

Italy is the second largest manufacturing economy in Europe (1,076 billion euro production value).  In particular, in the pharmaceutical sector, where both national and multinational companies operate successfully, Italy has affirmed its role as Europe’s leading producer, with pharmaceutical production amounting to EUR 49 billion in 2022 (data from the European Federation of the Pharmaceutical Industry).

Italy is the first country in the EU for the number of companies in the machinery and equipment sector and the second for the number of companies in microelectronics and semiconductors. Italy ranks 6th worldwide in terms of annual robot installations.

Italy is the European country with the highest percentage of recycling on total waste (83%, twice the EU average of 54%). (Symbola Foundation, 2024)

Italy ranks first in Europe in terms of resource efficiency index (274 points), an indicator that highlights the ability to produce goods by reducing the use of raw materials, water, energy and the intensity of GHG emissions. This figure is higher than the EU average (147 points) and that of Germany (167), France (162) and Spain (131) (Eco-innovation Index 2022 data).

Between 2012 and 2021, Italy increased productivity in the use of raw materials and more than 1 in 3 non-agricultural enterprises made eco-investments in the last five years (Symbola Foundation, 2023).

Furthermore, our country is the world’s largest operator in renewables, with 53.4 GW of managed capacity in 2021 and the second largest European producer, after Germany, of renewable energy technologies. Part of the technologies and components produced in Italy is destined for export: with 3% of world exports, Italy is the sixth largest exporter of renewable energy technologies (after China, Germany, USA, Japan and Hong Kong).

Italy has the most efficient goods clearance system, which is now fully digitalised.

Investing in Italy means having access to an immense wealth of intellectual and specialised knowledge that is unique in the world in all fields, and to extraordinary know-how in strategic sectors such as machinery, automation, fashion and design, food and cuisine. In recent years, Italy has also opened up to foreign investment in sensitive sectors such as energy, networks, telecommunications and transport.

Italian cities are embellished with a countless number of monuments and works of art whose beauty is appreciated and recognized internationally. In fact, the country ranks first in the UNESCO ranking (classifica UNESCO) for the number of World Heritage Sites (59 declared sites).

Italy is the European Union’s most visited country by tourists from many G7 and G20 countries and from other relevant countries or areas (49 million nights spent in Italy by international tourists, 2019).

The results achieved so far by the country are extremely favourable and testify to the renewed attention with which international investors are looking at Italy. In recognition of our long-standing commitment, Italy’s position in international rankings is once again on the rise, as witnessed by the main world rankings of the best research institutes (see also: Italy in international rankings).