The Bank of Italy published an economic update estimating that Tuscany’s output grew 0.8% in the first half of 2026 from a year earlier, supported mainly by household consumption and tourism. Activity slowed in the second quarter as economic conditions deteriorated following the conflict between the United States and Iran. Rising inflation constrained gains in household purchasing power, while uncertainty held back investment. Credit growth remained concentrated in lending to households. Real consumption increased 1.0% in the first half, supported by rising incomes, access to credit and international tourism. Real household disposable income grew 0.7%, as inflation increasingly offset nominal income gains. Regional inflation reached 3.9% in September, with transport, housing and utility costs accounting for more than two-thirds of the price increase. Industry continued its slow recovery, but the 23.8% increase in nominal exports in the first half came almost entirely from precious metals. Most businesses maintained investment plans consistent with broadly stagnant capital spending. At the end of June, household borrowing from banks and financial companies was up 3.5% from a year earlier. Bank lending to businesses fell 1.3%, including a 6.1% contraction for small firms, while lending to larger companies was broadly unchanged. Provisional August data showed business lending returning to slight growth of 0.2%. Credit quality remained stable, with gross nonperforming loans accounting for 3.3% of total bank lending in June.
Bank of Italy reports 0.8% growth in Tuscany supported by consumption and tourism
The Bank of Italy estimates that Tuscany’s economy expanded 0.8% in the first half of 2026, driven mainly by consumer spending and tourism. Higher energy prices limited purchasing power gains, while uncertainty restrained business investment. Household borrowing continued to grow in June, but bank lending to businesses contracted, particularly for small firms, before returning to slight growth in August.