US diplomatic representation: chief of mission: Ambassador Reginald BARTHOLOMEW embassy: Via Veneto 119/A, 00187-Rome mailing address: PSC 59, Box 100, Rome; APO AE 09624 telephone: [39] (6) 46741 FAX: [39] (6) 488-2672 consulate(s) general: Florence, Milan, Naples
Flag: three equal vertical bands of green (hoist side), white, and red; similar to the flag of Ireland, which is longer and is green (hoist side), white, and orange; also similar to the flag of the Cote d'Ivoire, which has the colors reversed - orange (hoist side), white, and green
Economy ———-
Economic overview: Since World War II, the Italian economy has changed from one based on agriculture into a ranking industrial economy, with approximately the same total and per capita output as France and the UK. The country is still divided into a developed industrial north, dominated by private companies, and an undeveloped agricultural south, dominated by large public enterprises. Most raw materials needed by industry and over 75% of energy requirements must be imported. In the second half of 1992, Rome became unsettled by the prospect of not qualifying to participate in EU plans for economic and monetary union later in the decade; thus, it finally began to address its huge fiscal imbalances. Subsequently, the government has adopted fairly stringent budgets, abandoned its inflationary wage indexation system, and started to scale back its generous social welfare programs, including pension and health care benefits. Monetary officials were forced to withdraw the lira from the European monetary system in September 1992, when it came under extreme pressure in currency markets. For the 1990s, Italy faces the problems of pushing ahead with fiscal reform, refurbishing a tottering communications system, curbing pollution in major industrial centers, and adjusting to the new competitive forces accompanying the ongoing expansion and economic integration of the EU.
GDP: purchasing power parity - $1.0886 trillion (1995 est.)
GDP real growth rate: 3.2% (1995 est.)
GDP per capita: $18,700 (1995 est.)
GDP composition by sector: agriculture: 2.9% industry: 31.6% services: 65.5% (1994)
Inflation rate (consumer prices): 5.4% (1995)
Labor force: 23.988 million by occupation: services 58%, industry 32.2%, agriculture 9.8% (1988)