#SoseXpress - Press Review 20/26 March 2021

Memory is the root of a community. Remembering is a condition for transmitting and living freedom as an indivisible good. 

Sergio Mattarella, President of the Republic, used these words on the Day of Remembrance and Commitment in memory of the innocent victims of the mafia. 

The Debate of Ideas  

 

The National Resilience and Recovery Plan is a unique opportunity for building a new economy

BIM (Building Information Modeling) is a methodology to create a digital model of buildings, including all the information on the entire life cycle. In an article published by LaVoce.info, Arturo Lorenzoni, Associate Professor at the Department of Electrical Engineering at the University of Padua highlighted how BIM could be a fundamental tool not to waste the opportunities offered by the RRP to modernize our country.  It is more than ever necessary to rely on the most advanced digital control systems, rigorous tools helping the PA modernize its operating procedures to relaunch the country. Here to learn more. 

 

Studies, research and numbers 

 

Istat: in March business confidence improved, consumer confidence fell slightly

According to Istat estimates, in March 2021, the consumer confidence climate index decreased (from 101.4 to 100.9) while the composite index of business confidence increased (from 93, 3 to 93.9). Business confidence index recovered for the 2nd consecutive month in the manufacturing sector and remained stable in construction. On the other hand, all components of the consumer confidence index are falling. Here the Note by Istat. 

Cashless, in the next five years electronic payments will increase by + 12.7% per year

Digital payments and the Cashless Plan attract young people, who push consumption thanks to their greater inclination to purchase on eCommerce platforms. If the cashback is confirmed for two years, it could increase consumption by 24 billion, producing additional revenue for about 4.4 billion and identifying undeclared income for 1.2 billion. This emerges from a survey conducted by the Community Cashless Society, the high-level platform launched by The European House - Ambrosetti in 2015, to promote electronic payments in Italy. The percentage of citizens who have chosen cards or cashless payments increased significantly in the last year, from 59.7% in 2020 to 75.5% in 2021. Here and here to learn more. 

Istat, the labour market is suffering from the Covid effect 

In the fourth quarter of 2020, the labour input (Full-time equivalent) decreased both in these three months (-1.7%) and on an annual basis (-7.3%); GDP fell by 1.9% and 6.6%, respectively. However, compared to the previous quarter, employment is increasing, although still decreasing on an annual basis. These data are confirmed by the quarterly report developed jointly by Istat, INPS, INAIL, and ANPAL, based on the data from the four institutes. The analysis highlighted strong demand for occasional work. Here the note by ISTAT. 

Bankitalia_Families’ financial vulnerability, moratoriums for 350 thousand of them 

Indebted families have made extensive use of moratoriums, especially in the first months of the pandemic crisis. In an article entitled "Impatto delle moratorie sui mutui sulla vulnerabilità delle famiglie (Impact of moratoriums on mortgage payments on families' vulnerability)," the Bank of Italy estimated that at the end of 2020, about 350,000 families had joined a moratorium. Most applications for suspension of instalments regarded individuals working in the industry, services, commerce, and catering sectors or residing in the North-West who declared a decline in family income. Here to learn more. 

Unioncamere, one out of ten enterprises are led by immigrants 

In Italy, one out of ten enterprises are foreign, a growth of 2.9% compared to the previous twelve months. Immigrant entrepreneurs are a reality that manages over 630,000 firms, of which 3 out of 4 are individual companies. In particular, entrepreneurs from Nigeria, Pakistan, and Albania are increasing, while those from China and Morocco registered a more marked decrease. However, the latest together with Romanian entrepreneurs remain the largest foreign business community in our country.  Unioncamere and InfoCamere provided this snapshot of the foreign enterprises registered in the Business Register of the Chambers of Commerce by December 2020. Here to learn more. 

Unioncamere, over one-third of Italian companies are ready to use EU resources 

One out of three companies intend to use EU financing and funds. However, accessing to these resources requires clear, simplified administrative procedures, simple language in tenders and forms, and technical assistance. This emerged from the survey carried out by SiCamera and InfoCamere on over 32 thousand companies within a project developed by Unioncamere and the Territorial Cohesion Agency. Here for further information. 

Istat, Industrial turnover in January up by 2.5% 

In January, the seasonally adjusted industrial turnover increased by 2.5% on a monthly basis; the growth was more significant on the non-domestic market (+ 5.0%), less marked on the domestic market (+ 1.2%). The average of the last three months remained unchanged compared to the previous quarter. According to Istat, the sectors that positively contributed to this result are energy with + 7.8%, intermediate goods + 3.2%, capital goods + 1.9% and consumer goods + 1.4%. Here the note by ISTAT. 

Cec-Enea, Italy at the forefront of the circular economy, but the leadership is at risk

Italy has the gold medal for the circular economy among EU leading economies, but its leadership is at risk. This emerged from the National Report on the Italian Circular Economy in 2021, produced by the Circular Economy Network, in collaboration with Enea. Our country scored 26 points in circular production, with a gap of 5 points from France. Compared to 2020, Italy is stable in the first place but without significant improvements. The Report highlights that Italy ranks first for resource productivity: each kg of consumed resource generates 3.3 euro of GDP, against a European average of 1.98 euro. Here to learn more. 

Eurozone, PMI indices growing in March 

Thanks to the record increase in manufacturing production and in line with the gradual recovery of global demand from the pandemic phase, the eurozone economic activity in March returned to grow. Once again, the anti-Covid restrictions impacted on the tertiary sector, which, however, marked the slightest decline since last August. According to the latest flash estimate of March, the Eurozone IHS Markit Composite PMI Index rose to 52.5 compared to 48.8 in February. Here to learn more. 

CRIF: Enterprises will return to pre-crisis levels of turnover only in 2022  

2021 will not recover the collapse in turnover of 2020 (growth estimates + 7.5% compared to an expected loss of 11.1% in 2020). It will be necessary to wait until 2022 to return to pre-crisis levels of turnover. This is the latest update by the CRFI Pulse Observatory underlining how the pandemic has generated an unprecedented economic shock. According to the Report, transport is the most affected sector (with an estimated decrease of 20.7% in turnover in 2022 compared to 2019). Web hosting services and websites are the fastest growing sector (+ 35.5% in turnover in 2022 compared to 2019). Here for further information. 

Censis, companies are optimistic about the post-Covid, but workers are afraid

The future scares workers. Three out of four workers fear unemployment, while 87% of companies are optimistic about the recovery. More corporate welfare will support enterprises and workers. These are some of the main results of the 4th Censis-Eudaimon Report on corporate welfare. 9.4 million private-sector workers are worried about the future of their jobs while companies are optimistic. According to Censis, most interviewed business managers think that the post-Covid world will be characterized by the race to recover turnover and market share (76%) and the digital transition challenge (36.2%). Here to learn more. 

Istat, non-EU export fell in February, import on the rise 

According to ISTAT estimates, in February 2021, export decreased slightly (-0.7%) in seasonally adjusted terms, and imports from non-EU27 countries increased (+ 4.2%). The decline in exports on a monthly basis affected all the main industrial sectors. The seasonally adjusted import rate recorded widespread increases, the most marked concerned capital goods (+ 11.2%), durable and non-durable consumer goods (+ 3.5% for both). Here the Note by Istat. 

Eurostat, EU trade strongly impacted by the COVID-19 pandemic in 2020 

In 2020, the coronavirus pandemic affected trade in the 27 member states (EU) causing significant drops in exports (-9.4%) and imports (-11.6%) compared to 2019. In 2020, the EU trade in goods balance was in surplus by € 217 billion. Eurostat published the data on international trade in goods, revealing these results. Here for more information. 

Inps, in 2020 the budget deficit down by 10 billion. 1.18 million paid for pensions  

Based on the preliminary analysis of 2020 data, INPS highlighted improved results compared to last summer's forecasts, still considering the extraordinary activities and disbursements due to the Covid emergency. In particular, the budget deficit shows an improvement of about 10 billion euros compared to the forecasts (-15.7 billion euro), reducing the estimated deficit of 6 billion euro. According to the institute, during 2020, 1,182,971 pensions were paid, of which 40.7% concerning welfare. Here the Press Releases by INPS. 

 

The voice of Stakeholders 

 

Confartigianato: employment, young people suffer the hardest impact of the crisis, but apprenticeship remains stable

In 2020, the job crisis hit above all youth people. Employed young people under 35 decreased by 5.1% compared to a general employment decrease of 2%. Considering territorial dynamics, young people in the South are most affected with a drop of 6.9%, while the total number of employees decreased by 2%, in line with the national trend. These are the recent trends in the labour market detected by the Confartigianato Research Department. Here to learn more. 

Confartigianato, the European funds will support the post-Covid growth  

In 2020, GDP recorded a decline of 8.9%, the worst ever recorded. Simultaneously, the analysis of the labour market data revealed decreasing employment, despite the great use of the social safety net: in the fourth quarter of 2020, employment decreased by 1 8% compared to the fourth quarter of 2019. These are some issues analysed in the study on the Italian economy entitled “Crescita dopo la pandemia, contesto per le imprese e riforme: i ritardi dell’Italia da colmare" carried out by Confartigianato Research Office. Here to learn more. 

 

Innovation

 

MISE, greater support for innovative SMEs 

Funding for innovative small and medium-sized enterprises is increasing. The Guarantee Fund has supported them with over 900 million euro. This emerges from the new edition of the quarterly report carried out by the Directorate for Industrial Policy, Innovation and SMEs of the Ministry, in collaboration with MedioCredito Centrale. On December 31, 2020, the benefiting innovative SMEs were 1,041, with loans for over 320 thousand euro. The average duration of the loan is approximately 52 months. Here the note by MISE- 

Italian G20 Presidency, the Task Force on the digital economy 

Since December 1st, 2020, Italy holds the Presidency of the G20, the international forum that brings together the world's major economies. The Department for Digital Transformation is, together with the Ministry of Economic Development, a member of Digital economy Task Force (Detf). The Presidency gave space to issues of common interest: artificial intelligence and the public sector, digital identity, rights, and simple regulation. Here to learn more. 

Enterprises' R&D expenditure down by 5%; the PA recorded a + 3% 

"The Covid-19 epidemiological emergency has led to the awareness of a pressing need for investments in scientific research and technology. However, the economic data show a negative impact of the emergency on companies' expenditure in Research & Development, registering a 5% decrease in 2020 (-4.7% compared to 2019, - 2.9% compared to 2018), while the Public institutions recorded a growth of 3%". The decrease is highlighted in the report on fiscal expenditure (“Relazione sulla spesa fiscale”), by the Sezione centrale di controllo sulla gestione delle Amministrazioni dello Stato (Division for Management control in Public Administration) of the Italian Court of Auditors, which analysed the Research and Development tax credit. Here and here for further information 

Microsoft, less remote, more flexible: what workers want after the pandemic 

"The digital evolution of the world of work has accelerated rapidly over the last year, improving productivity and flexibility but also causing difficulties in communication, collaboration and the management of working time." As emerges from the latest edition of the Work Trend Index in the EMEA area, 42% of workers feel exhausted, and 46% stressed. Microsoft's annual report collects global data on the changes in work environments after a year of remote work and experts' advice to help leaders evolve to hybrid work. Here to learn more. 

 

 Local Authorities 

 

The Apps used by P.A. to provide services complying with privacy law 

The Public Administration and particularly municipalities use applications to book appointments and provide services. This implies processing huge amounts of personal data, sometimes very delicate because necessary to book various services, also concerning healthcare. To comply with Article 25 of the General Data Protection Regulation, it is necessary to have clear obligations, which the Guarantor for the Protection of Personal Data has recently clarified. Here to learn more. 

Local finance: The Decree for the Allocation of funds to local authorities was published

The Ministry of the Interior - Department for Internal and Territorial Affairs, published in the Official Gazette the Decree concerning the transfers to local authorities. The total annual Fund amounts, as in previous years, to 1,046,917,823.00 euro, corresponding to the share of tax revenue deriving from the so-called provinces' participation in IRPEF tax. Here the note by the Ministry of the Interior. 

Istat, the new database of territorial indicators for development policies 

The new Istat database of Territorial Indicators for Development Policies originates from an agreement between Istat and the Cohesion Policy Department (DPCoe) of the Presidency of the Council of Ministers and the Territorial Cohesion Agency (ACT). The goal is to provide updated territorial data and indicators to monitor policies' impact on territories over time and support resource reallocation. The database includes over 300 indicators, in annual time series, on a regional and sub-regional basis, broken down by thematic area and by the objectives of planning cycles, starting from 2000-2006. Here the note by Istat. 

 

The world of MEF 

 

MEF: moratoriums on loans for 294 billion. SMEs, guarantee requests for 149 billion 

Applications for moratoriums on loans exceeded 2.7 million for a value of approximately 294 billion. The requests for guarantees for new bank loans for micro, small and medium-sized enterprises submitted to the Guarantee Fund for SMEs exceeded 149 billion.  

The “Garanzia Italia” of SACE granted guarantees for 22.3 billion euro for 1,699 requests received. These are the main results of the survey carried out by the task force set up by Mef, MIse, Bank of Italy, ABI. , Mediocredito Centrale, and Sace to promote the implementation of the measures to support liquidity adopted by the Government to face the Covid-19 emergency. Here the press release by MEF.