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industryROME: Italy's industrial orders rose 1.7 percent in May after a fall the previous month with a 2.0-percent rise in foreign orders despite a grinding recession, the official Istat data agency said on Thursday.

According to the seasonally adjusted data, Istat said in a statement that there was also a 1.6-percent increase in orders from Italy.

Industrial orders had fallen by 1.9 percent in April but orders were still down 9.4 percent in May on a 12-month comparison.

Italy's economy entered recession in the second half of last year and is not expected to start recovery until next year.

The Bank of Italy on Tuesday downgraded its growth forecasts, predicting an economic contraction of 2.0 percent this year.

Copyright AFP (Agence France-Presse), 2012

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