Current Account Balance: Italy

Analysis# Italy Current Account Balance Italy's current account balance stands at 1% of GDP in 2026, marking a moderate recovery from recent deficits. The nation peaked at 3.8% of GDP in 2020, while its all-time low occurred in 1980 at -3.5% of GDP. Over the 46-year period since 1980, Italy's current account has improved by 128.6%, reflecting a dramatic structural shift in its external economic position. The most significant turning point emerged in 2022, when Italy's balance plummeted to -1.7% of GDP, the weakest performance in decades outside the 1980s baseline. This sharp reversal followed years of surpluses between 2017 and 2021. Since that 2022 trough, the balance has stabilized at modest positive levels, settling around 1% through 2026. Forward projections suggest Italy will maintain this narrow surplus range in coming years.