Italy's Giorgetti Says Inflation Surge to 5.6% Is 'Dramatic Consequence' of Wars' Hit to Energy

Italian Economy Minister Giancarlo Giorgetti said he is worried about the surge in consumer prices and tied it to conflicts in the Middle East, after official data showed inflation jumping to 5.6% in October, Briefs Finance reported. Speaking to reporters in Rome on Friday after the release, Giorgetti said the effect of wars on energy commodities was a legitimate cause for concern, adding: “What we are seeing regarding inflation is, unfortunately, the dramatic consequence.”

According to Briefs Finance, Giorgetti said Prime Minister Giorgia Meloni’s government is raising the issue with its international counterparts. The outlet said the October reading exceeded every economist’s forecast and appears set to be the steepest among the large euro-area economies.

Energy drives the jump

Preliminary figures from national statistics agency Istat, published on 30 October, showed the EU-harmonised consumer price index (HICP) rose 5.6% year on year in October, up from 4.2% in September, and 1.2% from the previous month. Italy’s national index (NIC) climbed 5.4% on the year, also up from 4.2%, and 0.9% month on month.

Istat said the acceleration came mainly from energy. Annual inflation in regulated energy products more than doubled to 59.5% from 25.8%, while non-regulated energy prices rose 29.4%, up from 22.5%. Unprocessed food prices increased 7.5% and transport-related services 3.1%. On a monthly basis, regulated energy prices jumped 18.8%. Goods inflation reached 7.5% while services inflation edged up to 2.9%, the agency said.

AFP reported that the rise in prices since the Middle East war has set off numerous demonstrations in Italy over the cost of living.

Growth stalls in third quarter

The price data landed on the same day Istat reported that the economy stagnated in the third quarter. According to AFP, gross domestic product rose just 0.02% from the previous quarter, slightly below the 0.1% expansion expected in forecasts compiled by FactSet and Bloomberg, after growth of 0.2% in the second quarter and 0.3% in the first.

ING said the outcome “casts doubt about the attainability” of the government’s 1% growth target, AFP reported. The Bank of Italy had earlier in October raised its 2026 GDP forecast to 0.9% from 0.6%.

Briefs Finance noted the data came just after the government finalised its last budget before elections due next year. The outlet said the budget targets tax cuts for the middle class and cost-of-living relief, and draws €10.7 billion from the finance sector over three years.

What’s next

Istat is scheduled to publish final October consumer price figures on 17 November. Unions have called a general strike over cost-of-living pressures, Briefs Finance reported, while Giorgetti said the government is taking the inflation issue to its international partners.

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