Economy
The Italian economy, which has been in recession since mid-2011, is forecast by the European Commission to shrink by 0.5 percent in 2013, an improvement over a 2.3 percent decline in 2012. The World Bank (2012) ranked Italy’s nearly US$2.2 trillion Gross Domestic Product (GDP) eighth in the world. Italy was ranked fifty-second out of 142 countries on the Legatum Institute Economy Sub-Index (2013).
Italy has a diversified industrial economy with high GDP per capita and well-developed infrastructure. The industrial north is Italy’s economic engine and is dominated by private companies. The less-developed south’s economy is based primarily on agriculture. The economy is driven in large part by the manufacture of high-quality consumer goods produced by small and medium-sized businesses, many of them family owned. Italy also has a large underground economy, which accounts for around 17 percent of GDP. Italy’s closest trade ties are with the other countries of the European Union, accounting for nearly 60 percent of its total exports. Italy’s largest EU trade partners are Germany and France.
Recession and debt concerns have had a major impact on employment in Italy. The overall unemployment rate is over 11 percent, but unemployment among young people is over 36 percent. The 2.4 percent inflation rate in the country is the one bright spot in Italy’s economic outlook.
Finding a Job
With an over 11 percent unemployment rate in Italy, job searching will be a challenge for expats. Most employment in the country is in the services sector, which employs nearly two-thirds of all workers. Nearly 30 percent of workers are employed in industrial work. Italy is also a major tourist center, which means many areas of the country have businesses specifically geared toward English-speaking visitors. Whether you are looking for employment or would like to start your own business, tourist areas always represent opportunity for expats.
Job search strategies you can use are similar to the U.S. Industry associations are an excellent way to find out about international opportunities in your field. Check the job listings in local newspapers as well as craigslist. The craigslist link below allows you to search 11 cities throughout the country. Be sure to send unsolicited applications to targeted employers and contact temporary work or staffing agencies online or onsite. Most importantly, check out local online forums and bulletin boards in the area you have chosen. Locals can be a great source of opportunities.
To get you started, here is a list of websites that may help you in your job search:
Jobs in Milan
Starting a Business
Starting a business may be as difficult as finding a job in Italy. The World Bank in 2012 ranked the country eighty-fourth out of 185 countries on its Ease of Starting a Business Index and seventy-third on its Ease of Doing Business Index. Italy’s best rankings were thirty-first in Resolving Insolvency and thirty-ninth in Registering Property. Italy ranked thirty-ninth out of 142 countries on the Legatum Institute Entrepreneurship and Opportunity Sub-Index (2013). Starting a business in Italy may be a challenge, but the country provides excellent technology infrastructure, including ranking in the top 10 countries in the world for availability of mobile phones and Internet bandwidth.
For an excellent, detailed overview of business opportunities in Italy, read the Country Commercial Guide for Italy, which is prepared annually at U.S. embassies through the combined efforts of several U.S. government agencies. The guide presents a comprehensive analysis of Italy’s commercial environment from economic, political and market analyses.
To help you start a business in Italy, the World Bank offers this step-by-step process checklist.
If you require financial assistance for starting your new business, grants and incentives may be available in Italy, especially in rural areas and the south of the country. Grants include European Union subsidies, central government grants, regional development grants, redeployment grants and grants from provincial authorities and local communities. Grants may include assistance to buy buildings and equipment or low-cost business premises, research and technological assistance, subsidies for job creation, low-interest loans and tax incentives. To research grants and financial assistance, start by contacting the Italian Chamber of Commerce for your area and the Italian Revenue Agency (Agenzia delle Entrate). You can open the pages with Google Chrome or download a translation browser button to your browser.