Page 7 - FIPI - Policy Economic Report - May 2025

POLICY AND ECONOMIC REPORT
OIL & GAS MARKET

? Growth increased marginally in Italy (from 0.2% to 0.3%), and it turned positive in Germany
(0.2%) and France (0.1%).

? Among other OECD economies, 17 countries experienced slowdowns in growth in Q1 2025
compared with Q4 2024, resulting in negative growth in four countries. Slovenia recorded the
largest fall in GDP in Q1 (-0.8%), followed by Portugal (-0.5%). Ireland recorded the highest
quarter-on-quarter growth rate in Q1 (3.2%).

? Year-on-year, GDP growth in the OECD was 1.6% in Q1 2025, down from 1.9% in Q4 2024.
Among G7 economies, Canada recorded the highest growth over the last four quarters (2.3%),
followed by the United States (2.0%), while Germany recorded the largest fall (-0.2%).

Global inflation

? Year-on-year inflation in the OECD as measured by the Consumer Price Index (CPI) decreased to
4.2% in March 2025 from 4.5% in February, reaching its lowest level since July 2021. It declined
in 18 of 38 OECD countries, with the largest falls in Estonia, Hungary, Norway, and Türkiye.

? Year-on-year OECD food inflation rose to 4.8% in March from 4.4% in February, with increases in
more than two-thirds of OECD countries, including Chile, Greece, the Netherlands, and Türkiye.
This was outweighed by a fall in OECD energy inflation to 3.0% in March from 3.8% in February,
with decreases in 28 OECD countries, and a small decline in OECD core inflation (inflation less
food and energy) to 4.5% in March from 4.7% in February, reaching its lowest level since
November 2021.

? Year-on-year inflation in the G7 fell to 2.4% in March from 2.7% in February. Headline inflation
rose only in Italy driven primarily by increasing prices of non-regulated energy products. While
energy and core inflation declined, G7 food inflation accelerated again year-on-year, with
increases in Canada, Germany, France, and the United States.

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