ROME, Italy – Italy’s Minister of Enterprise and Industry, Adolfo Urso, announced that the new budget law includes a package of financial and development measures to support investments.
Especially in the south of the country, most notably the allocation of €2.3 billion to the ZES (Unified Special Economic Zone), in addition to a 30% tax exemption for major companies investing in the south by 2026.
In an interview with Il Mattino newspaper, Urso said the government had confirmed these measures as part of a comprehensive strategy to promote industrial development in less developed regions.
By combining traditional support tools such as development contracts with innovative initiatives, most notably the Industrial Transformation 5.0 project.
Dual support for digital and environmental transformation
The Minister noted that the Transformation 5.0 initiative, developed in collaboration with Confindustria (the Italian employers’ federation) and the manufacturing sector, will benefit from €4 billion in funding.
With the aim of supporting digital innovation and energy transitions, thus enhancing the competitiveness of Italian companies in the face of the dual transformations of technology and the environment.
He explained that this new initiative integrates Industry 4.0 into a broader vision. This is achieved by focusing on self-sufficiency in energy production and cost reduction, which Urso described as a “top priority.”
Given that energy costs are currently the biggest obstacle to industrial growth in Italy.
Sectoral budget distribution
Urso revealed that the 2026 budget law includes a total of €8 billion to support industrial policies, distributed as follows: €4 billion for the Transformation 5.0 initiative (including excessive consumption), and €2.3 billion for the unified ZES area.
The remainder will support other instruments such as development contracts, the new Sabatini program, and the ZLS zone, in addition to a special tax credit for agricultural companies unable to benefit from excessive consumption incentives.
Urso concluded his remarks by affirming that this financial package strengthens Italy’s new industrial strategy, one that links regional development with sustainable innovation, as the country strives to keep pace with global economic transformations and ensure a competitive future for Italian companies.
