Italy is a beautiful country with a rich history and culture, offering investors and residents a high quality of life, favorable tax breaks, and endless possibilities. Here’s why people are moving to this economically rich country!
Italy is the third-biggest economy in the Eurozone and the eighth-largest in the world. The Italian economy has been gradually increasing in the past few years, with a GDP growth of 3.7% in 2022. The unemployment rate has also dropped to 8.4%, the lowest in more than a decade.
A lot of people wish to live in Italy. The beautiful weather, delicious food, and breathtaking landscapes are only a few of the factors that make Italy so alluring. Another reason why Italy should be renowned across the world is the abundance (and notably the ease with which) of investment possibilities that are available.
There are several reasons for moving to Italy; if you’re still not persuaded, here are the top reasons to invest in and move to Italy!
Rich Economy
Italy’s rise from post-World War II economic obscurity to current prominence is remarkable. Italy stands as the third-largest economy within the Eurozone and ranks eighth globally, boasting a consistent annual GDP growth of around 3%. The nation’s robust domestic market, fueled by a population surpassing 60 million, presents an array of business prospects. With a GDP per capita exceeding $35,657.50, Italy’s economic landscape remains promising. Notably, Italian households exhibit remarkable net wealth, standing at eight times their disposable income, a ratio surpassing that of the United States and Canada.
Its chemical sector is thriving, and textiles are a key business. Postwar open trade policies and a strong entrepreneurial spirit fueled remarkable growth in industrial exports, however administrative difficulties and unequal regional development hampered the trend. Tourism, in particular, wields enormous impact.
Approaching the 21st century, Italy curbed high inflation, embraced conservative fiscal policies, and embarked on widespread privatization to align with fellow EU nations, enhancing its economic equilibrium.
Lower Cost of Living
Italy is the fourth least expensive country in Western Europe out of seventeen countries. If there’s a family of four, they might need around €3,606 every month for all their basic necessities, but for just one person around €1,672 could be enough to last a month. Even though people might think that living better costs a lot, Italy shows that’s not always true. According to Expatistan, living in Italy is actually cheaper than the UK by a big 24%.
This is especially clear in things like travel, housing, and having fun. If you choose to move to Italy, either when you’re older or to live simply, your money can go further. Each bit of money can do more, so you can enjoy life better. This special benefit makes Italy a great place if you want to have a good retirement or experience a new culture without spending too much. Italy is amazing not only for its culture but also for saving money.
A Global Logistics Center
Central in the middle of the Mediterranean Sea, Italy is a leader in logistics technology, with companies using innovative solutions such as blockchain, big data, and artificial intelligence. Italy has a well-developed transportation infrastructure, including ports, airports, roads, and railways. This allows for efficient and cost-effective transportation of goods and services to and from Italy.
It has 40 big ports which handle over 800 million tons of cargo each year and 42 airports, which handle over 100 million passengers each year. This makes Italy very important because it’s like a door to 500 million buyers in Europe and 270 million in North Africa and the Middle East. Also, it’s like the main path that connects the bottom part of Europe to the middle and upper parts.
Pro Investment Incentives
The Italian government offers various investment incentives to attract individuals and businesses to the country. These incentives encompass sectors like tourism, renewable energy, research and development, and startups. Italy provides tax breaks, grants, and subsidies to encourage investments that stimulate economic growth and job creation.
Italy encourages corporate growth and innovation through tax credit initiatives. Private R&D investments receive a 25% tax credit, which rises to 50% for collaborations with universities or research centers. Additionally, a 15% tax credit is offered for machinery and capital investments. Hiring technical and scientific researchers also garners tax benefits. Public incentives are channeled into manufacturing and R&D ventures, particularly in southern regions.
An optional program known as the Patent Box permits companies to deduct an extra 110% of qualifying R&D expenses from their tax base, alongside the standard 100%, resulting in a total 210% deduction. This pertains to R&D expenses directed at qualified intangible assets like copyrighted software, industrial patents, designs, and models. These strategies collectively foster competitiveness and progress across Italy’s corporate landscape.
Quality of Life
If you want to live a calm and relaxed life, the Italians have their own saying for it – “la dolce vita,” which means “the sweet life.” Italians understand the trouble that comes with losing sight of what truly matters and getting stressed by everyday life.
Italian Food
Italian cuisine is pretty famous all around the world. They have lots of amazing foods that come from different parts of Italy. You can pick from well-known dishes like spaghetti and meatballs, or try something more unusual but still yummy. Italian food has something delicious for everyone.
Eating is really important in Italy, almost like a special way of doing things. Italians really like to eat with their families for both lunch and dinner, and they make it a big deal. That’s why lunch breaks are really long, like two to three hours! And people leave work right on time to get home for dinner. It’s like a tradition.
Affordable Real Estate
If you’re not from the European Union, you can find lots of cheap properties in Italy because their money isn’t as strong right now. This means you can probably get a better standard of living there since the cost of living is more reasonable.
If you want to buy or fix up a place in Italy, you can borrow up to 60% of the money you need with a mortgage. The good news is that the interest you have to pay on this money is getting lower in Italy. The average interest rate on mortgages went up from 1.4% in December 2021 to 3.6% in January 2023.
As for the tax you have to pay when you make money from selling a property, it’s 26% of all the profit. But you can completely avoid this if you wait five years before selling, and if you didn’t use the property as your main home.
Family Oriented Country
Italy is a country where family culture is really important. This means people like spending time together, which helps them balance their jobs and personal lives better than in other countries. When you go out, you’ll see that people take good care of children’s needs.
Children are welcomed and respected everywhere. People in the community, kids, and older folks are very important part of their life. Grandparents are a big help in raising kids. They look after them when both parents are working. Families try to sit down and eat together at least once a week, even with their busy schedules. In school, teachers support and cheer for kids more than in the UK. They encourage children and give them rewards for trying hard.
If parents split up, kids are safe under Italian law. But let’s not jump ahead. Overall the Italian people are friendly and warm. They like giving cheek kisses when they meet, and they’re fine with being close or touching, even if they just met. This might be different from more reserved cultures, but it undoubtedly creates strong friendships.
Educated Talent Pool
The literacy rate in Italy is 99%, one of the highest in the world. Italy has a really good workforce, and it costs less to get work done there compared to other similar European countries. Italy is the third-best country in a group of countries that work together to help each other’s economies, called the OECD. Italy has really good schools that a lot of people around the world think highly of. Surprisingly, it doesn’t cost a lot to go to these schools – only about €1,500 each year.
Italy has 24 universities that are some of the best in the world, and in 2022, they were ranked in the top 500 by an organization called THE. In 2021, Italy’s universities gave degrees to almost 100,000 students who studied different subjects like science, technology, engineering, and math.
Two of their universities, one in Bologna and the other in Milan, are some of the best in the whole world. Bologna is home to a really old university that has been open since 1088 – that’s a really long time ago! It’s as old as the universities in Oxford and Cambridge in the United Kingdom.
