Press Review #SoseXpress 15-21 May 2021

Together, does not mean abandoning one's perspectives, ideas, and opinions but constructively discussing. The dialogue is quite different from flaunting one's beliefs as grounds for insuperable opposition.  

This was stated by the President of the Republic, Sergio Mattarella, during the opening ceremony of the 2020-2021 Academic Year at the University of Brescia. 

The debate of ideas 

 

Low-wage subsidies to increase employment and support the working poor 

Public subsidies could increase the Italian employment rate (among the lowest in the industrialized world), support the income of many families at risk of poverty, reduce inequality and increase the birth rate. This was the analysis by Luigi Bonatti, professor at the University of Trento and G20 member. Here for a detailed study (in Italian). 

 

Studies, research and numbers 

 

Censis: Italians fears about the Recovery and Resilience Plan 

No waste, no corruption: Italians are concerned about the National Recovery and Resilience Plan. How should the recovery fund be used? 75.5% of Italians fear that the pressure to spend it quickly could result in a reduction in controls, paving the way for illegality. 56.4% argue that it is necessary to spend the resources quickly but using reliable mechanisms to verify compliance with rules and regulations. 30.4% agree for strict control by the state, even at the cost of slowing investments down. 6.5% are for the abolition of controls to spend the resources with utmost speed. This was revealed by the study "La certificazione accreditata al servizio del Recovery plan (Accredited certification at the service of the Recovery plan)" realized by Censis in collaboration with Accredia, the sole national accreditation body. Here to learn more (in Italian). 

 

Bankitalia: Public debt at 2,650.9 billion in March 

The general government debt is still rising. In March, Administrations' debt increased by 6.9 billion compared to the previous month, amounting to 2,650.9 billion. The Bank of Italy confirmed these data in the publication Public Finances: borrowing requirement and debt. In the same period, the tax revenues in the state budget amounted to 30.1 billion euros, up by 9.8% (2.7 billion) compared to the same month in 2020. Here for further information. 

 

Istat, a benchmark for PAs 

In the first survey on the quality of the organizational plans of agile working (Italian acronym Pola) 2021-2023, the Department of Public Administration recognized Istat as a benchmark for PAs. The Ministry for Public Administration examined a sample of 34 administrations, revealing that Istat is the body with the highest overall programmatic quality in Pola (90%), followed by the Ministry of Labour and Social Policies (89%) and the Ministry of Economy and Finance (88%), compared to an average quality level of 67%. Here the note by ISTAT (in Italian). 

 

73,200 firms at risk of closing, 1 out of 2 is in Centre-South of Italy 

In Italy 73,200 Italian businesses are at risk, 15% of the total. Over 50% of them are in the Centre-South. More precisely, 19,900 are in the South and 17,500 in the Centre. Service companies (17%) suffered more difficulties than manufacturing ones (9%) in "resisting" the selection made by Covid. SVIMEZ and the Research Department of the Chambers of Commerce "Guglielmo Tagliacarne" analysed a sample of 4 thousand manufacturing and service companies with up to 499 workers and revealed these data. Here to learn more (in Italian). 

 

Istat: Job vacancies in manufacturing and service sectors

Istat published the preliminary estimates of the job vacancy rate in all manufacturing and service sectors. In the first quarter of 2021, the seasonally adjusted job vacancy rate stood at 1.0% in all economic activities, 1.2% in manufacturing, and 1.1% in services. The comparison with the previous quarter is almost stable due to a more marked increase in manufacturing (+0.3 percentage points) and weaker in services (+0.1 percentage points). For businesses with more than ten employees, the job vacancy rate is 1% and increases only in the manufacturing sector (+0.2 percentage points). Here the note by ISTAT (in Italian). 

 

More concentrated wealth also in Italy 

Since the mid-1990s, even Italy has experienced a real reversal of fortunes: the richest 0.1% saw a twofold increase in their real average net wealth (from 7.6 million to 15.8 million at 2016 prices), making its share double, from 5.5% to 9.3%. In contrast, the poorest 50% controlled 11.7% of total wealth in 1995 and 3.5% in 2016.A new study, carried out by the University of Naples "Federico II," the University of Salerno, and the Bocconi University of Milan, shows how our country has experienced a real inversion starting from the mid-90s up to 2016. Here to learn more (in Italian). 

 

Eurostat: GDP down by 0.6% and employment down by 0.3% in the euro area 

In the first quarter of 2021, seasonally adjusted GDP decreased by 0.6% in the euro area and by 0.4% in the EU compared to the previous quarter, according to a flash estimate published by Eurostat, the statistical office of the European Union. On an annual basis, the decline is 1.8%, according to the preliminary estimate. In the entire European Union, GDP recorded a decrease of 0.4% in the short term and 1.7% on a trend basis. Here the press releases by Eurostat. 

 

European Statistical Recovery Dashboard: May edition 

Eurostat released the May edition of the interactive European statistical recovery dashboard. The monthly and quarterly indicators from statistical areas visualized through the dashboard are relevant for monitoring the economic and social recovery from the Covid-19 pandemic across countries and time. This edition includes two new indicators of business demographics: business registrations and bankruptcy declarations. Here to learn more. 

 

Istat: production in the construction sector above pre-pandemic levels 

In March 2021, the seasonally adjusted index of construction production grew by 3.6% compared to February. In the first quarter of 2021, it recorded an average increase of 5.4%. According to Istat estimates, in March, both the unadjusted index for construction output (+78.9%) and the calendar-adjusted index (+ 74.5%) rose, compared to the exceptionally low levels of the corresponding month last year, due to the first restrictions to face the health emergency. Here the Note by Istat. 

 

INPS: after a year of pandemic, 124 thousand fewer jobs in the private sector 

In the first two months of this year, new jobs in private employers amounted to 835,000 (-28%), and job losses were 629,000 (-34%), which means 124,000 fewer jobs in the private sector. The contraction in employment rate concerns all types of contracts, from a 12% decrease in temporary to 46% for on-call contracts. For layoffs, the contraction also affected all types of contracts. These are the data communicated by the INPS - Observatory on precarious work in February 2021. Here the INPS press releases section (in Italian). 

 

Istat: in March, industrial turnover at pre-Covid levels 

In March, Istat estimates that the seasonally adjusted industrial turnover index increased by 1.6% due to the growth in both markets (+ 2.0% in the domestic market and 0.6% % the non-domestic market). The overall index rose by 3.5% in the first quarter compared to the last quarter of last year (+ 3.3% on the domestic market and + 3.7% on the non-domestic market). The result derives from a more significant increase in the domestic market (+ 45.7%) than the non-domestic one (+ 25.1%). Here to learn more. 

 

The voice of Stakeholders 

Confcommercio-Censis: uncertainty slows the recovery; 20% say no to holidays

The Confcommercio Censis Observatory analysed the impact of the pandemic on families' confidence, prospects, and consumption, recording a drop in consumption of 1,831 euro per family in 2020 and an increase of 82 billion in savings. The uncertainty caused by the covid slows the recovery: confidence in the near future is growing, but the pessimists continue to prevail over the optimists. For half of the Italians, the priorities remain work and trust. The Observatory highlights that 20% have already decided not to go on holiday this summer, and almost half of the families (47.4%) have not yet decided what they will do. Here to learn more (in Italian). 

 

Confcommercio, GDP returns positive in May: + 3.7% 

According to the data provided by the Confcommercio Research Department, we are still far away from recovering the losses of 2020. Many sectors have suffered a collapse in demand over 70% (services) compared to 2019. According to the May issue of "Congiuntura Confcommercio" the country's economic life is improving, as demonstrated by a GDP increase of 3.7% compared to -1.8% in April. Here for more information (in Italian). 

 

CNA: Employment holds in craft and small enterprises 

The progress of the vaccination campaign and the consequent lifting of social restrictions are affecting employment as well. According to the CNA Labour Observatory, small enterprises recorded an increase both on a monthly (+ 0.4%) and annual (+ 0.8%) basis last March. The increased employment on an annual basis results from the growth in recruitment (+ 12.7%) compared to the same month of 2020 and the drop in terminations (-24.6%). In particular, the increase concerned fixed-term positions (+ 37.4%) and apprenticeships (+ 39.8%) while, in one year, permanent contracts fell by 22.2%. Here to learn more (in Italian). 

 

Confagricoltura: food prices cool inflation down

While total inflation is growing on a monthly basis by 0.4% and on an annual basis by 1.1% (April 21 / April 2020), consumer prices of food products are falling, especially for fresh foods ("unprocessed ").The drops in the prices of fruit (from + 3.6% in April 2021 compared to -0.6%  in April 2020; -0.5% in April compared to March) and vegetables other than potatoes (from + 0.3% to -1.7%; + 4.8% on the month)are remarkable. Confagricoltura outlines this situation based on the data on consumer prices released by Istat. Here for further information (in Italian). 

 

Fipe-Confcommercio:  514 thousand jobs lost due to the pandemic

The "accommodation and catering" sectors have lost 514 thousand jobs due to the pandemic after 245 thousand new jobs created between 2013 and 2019. These data emerge from the Annual Report "Prove di ripartenza (Recovery testing)" presented by the Fipe Research Department. In particular, the catering sector has lost almost 250 thousand jobs, many of which were permanent and related to young people and women. In terms of consumption, the loss amounted to 130 billion, 31 only in the catering. However, recovery is expected only in 2022. Another characteristic of 2020 was the low number of new enterprises: 9,190 compared to the over 18,000 started in 2010. On the other hand, Infocamere data certified the closure of 22,250 businesses in the year of the pandemic. Here a detailed article (in Italian). 

Coldiretti: according to 83% of the Italians, the country's relaunch will come from agriculture 

"Italian agriculture is a fundamental resource for the economic development and work in the country."  83% of Italians consider agriculture essential to relaunch the country's economy, with a consensus increased by 19% in 2021, compared to pre-pandemic levels. This emerges from a survey by Coldiretti and Notosondaggi released during the meeting " L’Italia torna contadina nel tempo del Covid (Italians return to be peasants in Covid time)," organized in collaboration with the Univerde Foundation and Campagna Amica. Here to learn more (in Italian). 

 

Innovation 

 

Cybersecurity, record investments for 150 billion dollars in 2021 

According to Gartner's latest forecasts, world spending on cybersecurity services and risk management technologies will grow by 12.4% and reach $ 150.4 billion in 2021. The market of security and risk management services increased by 6.4% in 2020. Gartner’s 2021 CIO Agenda Survey found that cybersecurity was the top priority for spending, with 61% of CIOs surveyed saying they were increasing investment in cybersecurity and IT security. Security services will represent the largest spending category in 2021, worth nearly $ 72.5 billion globally. Here to learn more (in Italian). 

 

Kaspersky: Device updates, 50% of Italians postpone them because boring

According to a study conducted by Kaspersky in April 2021, Italians consider updating their devices a tedious task, and almost half of the interviewees ignore it. 34% believe they can use it for other activities, even if to the detriment of productivity, while 41% are happy to take a break from technology. The online research on user habits regarding device updates was commissioned by Kaspersky and conducted in April 2021 by the independent research firm Savanta on a total sample of 15,000 people. Here to learn more. 

 

CNEL and CIU-Unionquadri allies for digital security 

"Increasing the resilience of public and private entities against cyber and physical attacks is an indispensable factor in providing security to citizens and businesses." The National Resilience and Recovery Plan's first mission is the concrete implementation of digitization, innovation, and security in the PA, by encouraging synergies and collaboration between the public and private sectors in cybersecurity resilience of critical subjects. The agreement between Cnel and Ciu-Unionquadri goes in this direction launching a literacy campaign aimed at public and private professional categories. Here to learn more (in Italian). 

 

 Local Authorities 

 

#OPENFSC: how to read the data of the Municipal Solidarity Fund 

Within the 2021 Open Administration Week, SOSE held a webinar entirely dedicated to explaining the mechanisms that regulate the Municipal Solidarity Fund. The webinar was an opportunity to offer users guided navigation of the data available on www.opencivitas.it, the web portal created by SOSE and MEF and dedicated to public finance and standard expenditure needs. The webinar was streamed and is available on the SOSE YouTube channel. The ppt presentations are available on OpenCivitas. Here to learn more (in Italian). 

 

NRRP: The Decree establishing the "Complementary 30.6 billion euro Fund" for Local Authorities published in the Official Gazette 

The Legislative Decree May 6, 2021, n. 59, containing "Urgent measures relating to the fund integrating the 'National Recovery and Resilience Plan' and other urgent measures for investments," was published in the Official Gazette n. 108 of May 7, 2021. It introduces provisions concerning the "National Investment Plan" and aims to integrate it with national resources. The "Complementary Fund," which amounts to 30 billion and 622.46 million euro, provides for investments to support Local Authorities not included in the "NRRP." Here a detailed article (in Italian).

 

Istat, the digital transition of municipalities 

The survey on ICT use in local public administrations (conducted by Istat every three years) offers a detailed framework of the technological equipment and management of ICT tools in the various administrations. Concerning infrastructure equipment, the main indicators collected by the survey reveal that a large number of employees have access to the internet (85.9%), and a relatively large number have basic technological tools such as portable devices (owned by 62% of municipalities). However, Istat reported a poor diffusion of modern technological tools among municipalities aged less than 5 years (38% of administrations) and a low incidence of laptops and mobile devices compared to the actual number of employees (10.4%). On the other hand, the use of external companies is widespread: in 2018, 94.1% of municipalities rely on private external suppliers to manage ICT services, while 14.1% involve public ones. Here the Note by Istat (in Italian).

 

The world of MEF 

 

MEF: In the first quarter 2.725bn less revenue in the state coffers 

Tax and social security revenues in the first three months of 2021 show an overall decrease of 1.7% (-2,725 million euros) compared to the same period of 2020. The figure considers a decrease of 1, 1% (-1,093 million euro) in tax revenues and 2.7% (-1,623 million euro) in social security revenues. According to MEF estimates, the decline in tax revenues is due to the worsening economic situation and the impact of the measures adopted by the Government to deal with the health emergency. Here the press release by MEF. 

 

MEF: the decree containing amendments to ISAs to face the Covid emergency was published 

The decree of 30 April 2021 by the Ministry of Economy and Finance was published in the Official Gazette of 17 May 2021. It contains amendments to the synthetic indexes of reliability (Isas) approved with the ministerial decrees of 24 December 2019 and 2 February 2021, applicable to the tax period 2020. The changes concern integrations and corrective measures to adapt the results to the severe economic situation caused by the epidemiological emergency last year. Here to learn more (in Italian). 

 

MEF: credit and liquidity for families and enterprises

Moratoriums are still active on loans for approximately 146 billion. The requests for guarantees on new bank loans for micro, small and medium-sized enterprises submitted to the Guarantee Fund for SMEs exceeded 168 billion. The “Garanzia Italia” of SACE granted guarantees for 23.6 billion euros, out of 2,048 requests received. The data emerged from the survey conducted by the task force to implement the measures adopted by the Government to support liquidity during the Covid-19 emergency. The task force involves the Ministry of Economy and Finance, the Ministry for Economic Development, the Bank of Italy, the Italian Banking Association, Mediocredito Centrale, and Sace. Here the press release by MEF (in Italian).