Bank of Italy reports Campania economy grew 0.9 percent in 2025 as private sector credit returned to growth

The Bank of Italy has published its annual report on Campania’s economy for 2025, showing that regional output expanded by 0.9 percent, matching the previous year and outpacing both Italy as a whole and the South. Growth was driven by services and construction, with industry returning to a modest expansion, while employment increased faster than the national average and lending to the non-financial private sector resumed growth. The report also points to persistent weaknesses, including a further contraction in automotive production and continuing gaps in household welfare and labour market indicators versus national levels. Services benefited from stronger foreign tourism, higher airport traffic and growing port activity, while construction continued to be supported by National Recovery and Resilience Plan and local public works spending. Exports recovered after their 2024 decline, led by pharmaceuticals, aircraft and metallurgy, but automotive exports fell 36.7 percent and car production in regional plants dropped by about one fifth for a second straight year. Household real disposable income rose by 1.5 percent and consumption increased by 1.1 percent, but a large share of families remained in the lowest national spending brackets. In finance, loans to the non-financial private sector were up 2.8 percent at end-2025 as business lending recovered and household borrowing accelerated, while corporate asset quality deteriorated moderately from historically low levels. The report also highlights stronger territorial public spending, led by investment, with Campania allocated EUR 15.7 billion in PNRR resources and payments of about EUR 6.6 billion, slightly above 40 percent of assigned funds.