Italian airline Eurofly will start the first direct commercial flights between Rome and New Delhi in 2007 to tap demand from a burgeoning class of globetrotting Indians, company officials said on Tuesday. 

Air France KLM is in intensive merger talks with Italian airline Alitalia, a Dutch newspaper said on Tuesday (14 November 2006). 

The IMF cut its forecast for Italian GDP growth to 1.7 per cent this year and 1.3 per cent in 2008, the daily Il Sole 24 Ore said, citing a draft of the agency's World Economic Outlook expected next week.

The Italy-based Itema Group is to commence production from its Coimbatore textile machinery unit under the Savio brand name from January 2008. The new Indian textile spinning unit will begin production using the latest technology in “'two-for-one twister'.

Luciano Pavarotti - the world's best known tenor - died at his home on Thursday, 6 September, in Modena, aged 71. He was suffering from pancreatic cancer.

Former Gucci designer Alessandra Facchinetti will succeed Valentino Garavani when he retires in January, Valentino Fashion Group said on Wednesday, 5 September.

Exactly 50 years after it was launched on 4 July 1957, a new model of the legendary 500 – or cinquecento – model of Fiat was presented with extravagant celebrations in Turin on Wednesday, which were attended by Prime Minister Romano Prodi.

The Government of India has finally decided to remove all additional custom duties on imported spirits, wines and beer, following ongoing complaints from the EU and US on the high duties levied by India.

India's economy in the March quarter grew 9.1 per cent from a year earlier, slightly below market expectations, pushing full fiscal year growth to its strongest pace in almost two decades.

The boards of Unicredit SpA and Capitalia Spa approved their banks' planned merger, a deal that will create Europe's second-largest bank, the banks said in a joint statement.

In a move that could bolster investment in the fast growing telecom sector the government decided on 23 March to raise Foreign Direct Investment up to 74 per cent, up from prevailing ceiling of 49 per cent. 

Prime Minister Romano Prodi resigned on Wednesday, 21 February, after nine months in office following defeat in the Senate over foreign policy, including Italy's mission in Afghanistan. 

Kamal Nath, Union Commerce and Industry Minister of india, is scheduled to participate in the high-level India-Italy Business Forum being jointly organised in Mumbai on 14 February 2007 on the occasion of the visit of the Italian Prime Minister Romano Prodi to India.

The government today revised the gross domestic product (GDP) growth rate for 2005-06 from 8.4 per cent to 9 per cent, mainly to account for a 54 per cent revision in agricultural growth from 3.9 to 6 per cent, in its quick estimates for the fiscal year.

India's Tata Steel won a bid battle for Anglo-Dutch steelmaker Corus Group on Wednesday by agreeing to offer investors 608 pence per share in cash, or 5.75 billion pounds.

Exports in December grew 19.54 per cent year-on-year to 9.9 billion dollars, while imports grew 41.83 per cent to 15.5 billion dollars during the month.

Fiat and Tata Motors have formally announced the setting up of their new joint venture with total investment now expected to exceed Rs. 40bn (US$896m). 

The Asian Development Bank announced on 11 December a record $1bn loan to help alleviate rural poverty in India amid concern over slowing growth in the agricultural sector and a wave of suicides by highly indebted farmers.

India’s economic growth rate accelerated to 9.2 per cent in the July-September quarter from 8.4 per cent in the year-ago quarter on the back of a strong performance by the manufacturing and services sectors, raising the likelihood of interest rates being raised in January 2007.