The Economy of Italy

Italy has a diversified industrial economy with roughly the same total and per capita output as France and the UK. The economy is split between the developed industrial belt in the north and a less-developed, agricultural region in the south. According to nominal GDP calculations, Italy was ranked as the seventh largest economy in the world in 2006, behind the United States, Japan, Germany, China, UK, and France, and the fourth largest in Europe.

Italy's major exports are precision machinery, motor vehicles, chemicals and electric goods, but the country's more famous exports are food, clothing, and luxury vehicles. With over 37 million tourists a year, Italy is also ranked as the fourth major tourist destination in the world.

Most raw materials needed by industry and more than 75% of energy requirements are imported. Despite some short-term reforms aimed at improving competitiveness and long-term growth, the economy experienced low growth in 2006, and unemployment remained at a high level.

The currency of Italy is the Euro.