Oliver Mangan: Economy shows continued resilience

Concerns remain about the severe shortage of housing becoming a constraint on economic growth

Modified domestic demand is forecast to grow by around 3% in both 2023 and 2024 and circa 2.5% in 2025. Picture: Niall Carson/PA Wire

Last week’s Quarterly Bulletin from the Central Bank saw upgrades to its forecasts for the Irish economy. 

This was largely due to a better-than-expected global economic backdrop as well as downward revisions to projections for the path of inflation in 2023. Irish HICP inflation is now forecast to fall to 5% this year from 8.1% last year, and moderate further to 3.2% in 2024, and 2.2% in 2025. The Central Bank sees Irish GDP expanding at a 5%-5.5% rate over the period 2023-2025.