Bearing the Heart of R&D

Italy Investment Incentives

R&D: Research and development incentive schemes support projects related to Industrial Research and Experimental Development with eligible costs of at least €5 million for the development of new products, processes, or improvements. Aids are provided through a combination of grants and soft loans, and additional benefits are available when collaborating with institutional research bodies. Similarly, circular economy programmes promote a more sustainable and efficient use of resources through a soft loan and a direct contribution towards eligible expenses.

Job creation & CAPEX: Various state and federal incentives are available to promote the creation and enhancement of employment opportunities, including a range of tax and cash incentives offered at the national level. Tax credits for CAPEX are available for Investments in facilities, machinery, robotics, automated logistics systems, warehouses, and computer-controlled machine.

Training: Training subsidies are classified into four categories in Italy: subsidies for work-based learning programs, such as apprenticeships or traineeships; subsidies designed to support the hiring and training of unemployed individuals; subsidies aimed at upskilling existing workers; and subsidies promoting collaboration between employers or the establishment of service-providing entities for groups of employers.

Green and other: Green New Deal incentive program supports projects related to industrial research, experimental development, and industrialization activities, providing a combination of soft loans, grants, and consultancy services for eligible costs within a specified range.

Overview: In Italy, incentives encompass tax credits and subsidies for investments made in capital goods, tax credits and patent box benefits for investments in research and development and design, as well as employment bonuses provided to employers who hire individuals from specific categories or invest in Southern Italy.

Capital:   Rome
Surface area: 
302,068 km²
Population: 
59.1 mil
Unemployment:   
8.1%
Currency: 
Euro
GDP growth: 3.7% 
FDI net inflow (% of GDP) in 2021:
0.9%

Prospective sectors: Manufacturing, IT, life sciences, automotive, machinery, and equipment,

Worth knowing: : Italy is the 8th biggest world economy and the 3rd  biggest in the EU region. The Italian economy is driven by the manufacture of consumer goods made by many family-owned small and medium-sized enterprises.