Italian business confidence modestly positive but shows growing fragility

The CRIBIS Italian Mood Index for 2026 recorded a score of 102, slightly above the neutrality threshold but down from 108 a year earlier. The index cites positive sentiment in finance, investment and sustainability, while highlighting persistent weaknesses in supply‑chain stability and the ability to recruit specialised staff—72% of firms report hiring difficulties. About half of Italian companies have undertaken significant technology and digitalisation investments, yet more than 50% say high interest rates have negatively impacted their operations.

In the north‑eastern province of Trentino, the regional confidence index fell to –19.6 in May, a 6.9‑point decline since February. Forty‑two point eight percent of respondents expect the local economy to worsen, and just over half (50.9%) plan to forego summer holidays. Households report tighter budgets, with notable cuts to durable‑goods purchases, clothing and out‑of‑home consumption.

Both surveys illustrate a cautiously optimistic but increasingly fragile business environment in Italy, where macro‑economic pressures and labour‑market constraints are shaping short‑term expectations.