Italy

Unified 1861; Meloni PM since Oct 2022· Country

FactTreaties, membership, measured data, events.

EU founding member of about 59 million, the eurozone's third-largest economy, led by Giorgia Meloni's right-wing coalition since 2022.

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The picture

Parliamentary republic; GDP about $2.4 trillion. Strengths: the EU's second-largest manufacturing base, exports of machinery, cars, fashion and food, and tourism. Weaknesses: public debt around 135% of GDP, slow growth, aging and one of Europe's lowest birth rates. Member of NATO, the EU and the G7. In September 2026 Meloni's cabinet became Italy's longest-lasting postwar government, though she lost a March 2026 justice-reform referendum. Investing: Italy ETFs or FTSE MIB funds, dominated by banks, Enel, Eni, Ferrari and defense group Leonardo.

Why it matters

Italy is a swing voice in the EU and G7: Atlanticist on Ukraine, hardline on migration, and its debt makes Italian bonds the eurozone's most watched risk gauge.

Key facts and numbers

Istat, Eurostat and IMF figures, official election and referendum results, and parliamentary records of government duration.

What to watch

Whether Meloni's coalition wins the next general election, due by 2027, and whether Italy can grow fast enough to bring its debt down.

Connections (2)

▸Italy is a member of G7 (Group of Seven)Fact

The relationship

Italy is a founding member of the G7, the club of large advanced democracies that coordinates on economics, sanctions and security. It hosted the 2024 summit and uses its seat to press priorities such as migration from Africa and Mediterranean security.

Since when and why

Founding summit at Rambouillet, France, in November 1975; Italy hosted the 2024 summit at Borgo Egnazia in Apulia, chaired by Meloni.

How we know

G7 summit records and communiqués.

What to watch

Whether the G7, now about 44% of world GDP at market rates and less in purchasing-power terms, can still set global rules.

▸Italy withdrew in 2023 from Belt and Road InitiativeFact

The relationship

In 2019 Italy became the only G7 country to join China's Belt and Road, hoping for exports and investment. The gains were small: Chinese exports to Italy grew far faster than Italian exports to China. Under US and EU pressure, Meloni's government let the deal lapse while seeking normal trade ties.

Since when and why

Signed in Rome during Xi Jinping's visit in March 2019 by Giuseppe Conte's government; Italy notified Beijing of its exit in December 2023, before automatic renewal in March 2024.

How we know

Italian government statements and trade data from Istat and Chinese customs.

What to watch

Whether leaving cost Italy any Chinese business, and how far Rome will now court Chinese investment, for example from carmakers.