The Italian GDP expanded by 0.3% in the first quarter of 2026, maintaining the pace of growth from the earlier period and revised above the 0.2% increase penned in the preliminary estimate, further beating expectations of a 0.1% growth rate. The GDP was carried by a 0.4% expansion in domestic expenditure, with household consumption rising 0.5% while public expenditure stalled. In the meantime, gross fixed investment expanded by 0.7%, as a 2.7% drop in residential development was offset by a 1.3% increase in non-residential investments. Meanwhile, net foreign demand contributed to a 0.9 percentage point increase in the GDP growth figure, as exports grew by 2.2% in the period while imports fell by 0.7%. This offset a 1.1 percentage point drag on the GDP growth figure from negative changes to inventory. From the previous year, the first quarter GDP expanded by 0.8%.