The International Monetary Fund (IMF) projects a growth rate of 0.5 percent for Italy in both this year and in 2027.
According to Petya Koeva Brooks, the Fund's deputy director of research, they are levels that are "modest yet anticipated." "The investments scheduled as part of the NRRP (National Recovery and Resilience Plan) remain focused on bolstering economic activity."
"Simultaneously, rising energy and food costs along with heightened uncertainty are impacting household spending," Brooks stated.
Regarding inflation, "the prediction has been adjusted upward, partly due to increased reliance on energy imports, and we anticipate it will stay above the target until 2028," she mentioned.
The World Economic Outlook reaffirms its predictions for the Spanish economy at 2.1 percent and 1.8 percent GDP growth in 2026 and 2027, while the estimates for France and Germany are lowered for 2026.
The report highlights developments in the Middle East as the primary risk facing the Fund.
A rise in geopolitical conflicts would negatively impact growth and intensify inflationary strains. "However, if the reopening of the Strait of Hormuz goes more smoothly than anticipated and commodity prices fall below the baseline scenario, growth may be stronger and inflation may be reduced," the outlook suggests.
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France is projected to expand by 0.6 percent this year, which is 0.3 percentage points below the estimate made in April. Growth for 2027 is projected to be 0.9 percent.
The Fund anticipates a GDP growth of 0.7 percent for Germany this year and 1.0 percent for the following year.
In comparison, the Chinese economy is projected to expand by 4.6 percent in 2026 and 4.1 percent in 2027, indicating a decline from last year's 5 percent, which was previously regarded as the essential limit for the stability of Beijing's political and economic framework.
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The Brazilian economy is expected to expand by 2.4 percent by the conclusion of 2026, before declining by two percentage points in the subsequent year, aligning with the Latin American average, which is likewise forecasted at 2.4 percent year over year compared to 2025.
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Predictions for Africa are generally steady, ranging from 4.3 percent to 5.2 percent for this year, though significant internal variations exist. Within the largest economies, forecasts vary from Nigeria's 4.3 percent expansion in 2027 to merely 1.3 percent for South Africa.