(Finance) – I Italian consumers I am under pressure due to the cumulative effects of high inflation, tighter financial conditions and geopolitical uncertainties. DBRS Morningstar states this in a report, predicting for 2024 that growth in real consumer spending will remain modest, less than 1%.
Despite this slow growth, analysts expect that some consumer sectors will benefit more than others: Demand for essential goods, such as food, will grow in real terms, while sales of high-value items, such as cars, will remain subdued in 2024; even if employment growth slows, the recovery in purchasing power will continue, helping Italian families to modestly increase their spending; Geopolitical risks remain a source of uncertainty and can impact consumer confidence, disrupt supply chains and increase inflationary pressures.
“There are some slight signs of optimism for consumer spending growth in 2024,” he said Edoardo DanieliAssistant Vice President, European Corporate Ratings at DBRS Morningstar – We expect that Italian families will start to increase their food basket, while large purchases continue to be postponed“.
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