Date:
9 February 2016
Statement by Federico Ghidini, President of the Young Entrepreneurs of Confindustria Lombardia
Milan, 9 February 2016 – The final quarter of 2015 was a period of renewed stability for the Lombard economy. The economic analysis conducted by Unioncamere and Confindustria Lombardia reveals an overall positive picture: 2015 closed with an increase in industrial production of 1.5%, with other key indicators also showing positive results, such as orders (domestic +1.8% and foreign +2.8%), turnover (+3.3%), and plant utilisation rates.
The employment balance was also positive, with both quarterly (+0.4%) and year-on-year (+1.1%) increases. This highlights a perfect turnover in employment for Lombardy, while the slight rise in the Wage Guarantee Fund (CIG) is not a cause for concern, as it is almost entirely linked to the Extraordinary Wage Guarantee Fund.
Furthermore, confirming how vital the manufacturing sector is to the entire Lombard and national economy, the manufacturing sector index has consolidated at 98.9, moving ever closer to European levels (101.5) and significantly outperforming the Italian index (82.5).
To this picture, it should be added that these general improvements are also confirmed by the Confindustria Study Centre, even though a slight slowdown in growth intensity is being observed at a national level: in the fourth quarter, national industrial production increased by 0.2% (+0.4% in the third).
However, uncertainties regarding international growth, which is currently undergoing downward revisions, represent a potential threat to this outlook. The fourth-quarter data on foreign orders (-0.3% quarter-on-quarter), which can in all likelihood be attributed to these tensions, is a signal that should not be overlooked. This concern is also shared by entrepreneurs, who anticipate a decline in foreign demand and flat domestic demand for the coming quarter.
There is also concern regarding the negative trend in active businesses: the largest decrease was recorded among manufacturing firms, with a year-on-year figure of -1.4%. If we consider industrial firms alone, we see an even greater decline of -1.9%.
These are signals that do not undermine the traditional vitality of the Lombard production base, but they do make serious internationalisation and aggregation policies even more necessary. These should, in particular, support SME exports to counter market uncertainties linked to the international scenario, while also providing a policy dedicated to new entrepreneurs that, beyond incentivising the creation of new businesses, creates a framework in which they can develop.
The decision by the Lombardy Region to activate new measures to support start-ups is a step in this direction, and as stated by our President Alberto Ribolla, Confindustria Lombardia will provide its contribution both in terms of suggestions and by disseminating the calls for tenders to potential new businesses.
It is clear, however, that we must not lower our guard and that the competitiveness of the Lombard system must be the primary objective towards which we all strive, with the awareness that the competitiveness of businesses cannot be separated from the growth of the territories and society in which they operate. This is the premise that led to the creation of the Confindustria Lombardia Strategic Plan, #Lombardia2030, presented in December, which we will share on 23 February with all our key stakeholders, starting with the Lombardy Region, Unioncamere Lombardia, and other representative associations.
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