A slump in exports has helped push Italy into recession, the second since 2003, according to final 1st quarter Gross Domestic Product (GDP) figures published on Friday. In a statement, national statistics institute Istat confirmed preliminary data issued last month and which showed that the country's economy had shrunk by 0.5 per cent in the first three months of 2005. The quarterly decline was the worst since 1998 and followed a 0.4 per cent contraction in the previous quarter. GDP also fell on a yearly basis, down 0.2 per cent from the same quarter of 2004. Istat said Italy's economy had suffered from a slump in exports, which fell by 4.1 per cent on the previous quarter. Imports were also down, 2.4 per cent, while consumption was up a mere 0.2 per cent. The statistics institute said all sectors of the economy, from industry to agriculture, had suffered setbacks. Italian Prime Minister Silvio Berlusconi was forced to form a new government in April after his previous administration collapsed amid voter discontent over the poor state of the economy. ---SP 1350 Local Time 1050 GMT
