Abruzzo - Economy

Economy

Until a few decades ago, Abruzzo was a region of poverty in Southern Italy; over the past decades, however, it has developed to such an extent that it has escaped from the spiral of underdevelopment to become the 'first' region of the 'Italian Mezzogiorno'. This confirms its pivotal role in the national economic system. Since the 1950s, Abruzzo has had steady economic growth. In 1951, Abruzzo per capita income or GDP was 53% of that of Northern Italy, the nation's richest region. By 1971, Abruzzo was at 65% and, by 1994, per capita income was at 76% of Northern Italy's per capita income, giving Abruzzo the highest per capita GDP of Southern Italy and surpassing the growth of every other region of Italy. The construction of superhighways from Rome to Teramo (A24) and Rome to Pescara (A25) opened Abruzzo to easy access, state and private investment in the region increased, and Abruzzo attained higher per capita education levels and greater productivity growth than the rest of the South. As of 2003, Abruzzo's per capita GDP was €19,506 or 84% of the national average of €23,181 and well outpacing that of the South (€15,808). As of 2006, the region's average GDP per capita was approximately 20,100 EUR.

The 2009 L'Aquila earthquake led to a sharp economic slowdown. However, according to statistics at the end of 2010, it seems that the economy of Abruzzo is recovering, despite the negative data regarding employment. In fact, at the end of 2010, Abruzzo's growth was 1.47%, which placed it fourth among the Italian regions with the highest annual growth rates after Lazio, Lombardy and Calabria. In 2011 Abruzzo's economic growth was +2.3%, yhe highest percentage among the regions of Southern Italy. The region is also the richest region of Southern Italy, with a GDP per capita higher than any other region of southern Italy (€21,574).

Abruzzo's industrial sector expanded rapidly, especially in mechanical engineering, transportation equipment and telecommunications. The structure of production in the region reflects the transformation of the economy from agriculture to industry and services. Although industry has developed strongly, it retains weak points due to the existence of only a few large businesses alongside a huge fabric of small and medium-sized businesses. Both pure and applied research are carried out in the region, where there are major institutes and factories involved in research in the fields of pharmaceutics, biomedicine, electronics, aerospace and nuclear physics. The industrial infrastructure is spread throughout the region in industrial zones which have already been mentioned, the most important of which are Val Pescara, Val Sangro, Val Trigno, Val Vibrata and Conca del Fucino. A further activity worthy of note is seaside and mountain tourism, which is of considerable importance to the economy of the region. Agriculture, involving small holdings, has succeeded in modernising and offering high-quality products. The mostly small, agricultural holdings produce wine, cereals, sugar beet, potatoes, olives, vegetables, fruit and dairy products. Traditional products are saffron and liquorice. Most famous in the world is Abruzzo's wine Montepulciano d'Abruzzo; in the late 20th and early 21st century, Montepulciano d'Abruzzo earned a reputation as being one of the most widely exported DOC classed wine in Italy.

In the past decade, tourism has increased, in particular concerning internal and European arrivals. Abruzzo's wealth of castles and medieval towns, especially around the town of L'Aquila, has earned it in some quarters the nickname of "Abruzzoshire", by analogy with the "Chiantishire", nickname sometimes used to refer to the Chianti area of Tuscany, but Abruzzo is still off the beaten path for most visitors to Italy. The Times newspaper described Abruzzo as "the king of agrotourism". Abruzzo ranks fifth among the Italian regions by toruist arrivals after the Calabria, the Marche, the Sardinia and Trentino. In 2010, arrivals totalled 6,381,067 Italian and 925,884 foreign.