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Italy's share of global GDP (PPP) has contracted significantly over four decades. In 1985, the country accounted for 4.67% of world GDP at purchasing power parity; by 2025, that figure dropped to just 1.78%—a loss of nearly 3 percentage points.
This shift reflects broader economic dynamics: the rise of emerging markets, China's rapid growth, and structural changes in developed economies. For traders and investors tracking macro trends, these numbers highlight why Western developed economies' policy decisions increasingly compete with emerging market growth stories in shaping global capital flows and risk appetite.
(Source: IMF)