Between 2008 and 2013 the Italian economy suffered the worst slump of its history: GDP went down by 9 percentage points, slightly more than household spending, while investment fell by 30 points, industrial production by almost 25 and employment by 4. The double-dip recession was far more severe in Italy than in the rest of the euro area.
Since then the Italian economy has gradually recovered, mostly thanks to domestic demand, especially consumption and, more recently, capital spending, but also with a significant contribution from exports. Potential output has been slowly improving too. Three years into the recovery, business investment in Italy is now approaching the average of the ten years preceding the global financial crisis.