Contraction in economy to continue but slight growth expected in 2010

THE contraction in the economy is expected to continue through this year and into next, with a very modest rate of growth now expected to emerge in mid-2010, the latest quarterly economic bulletin from the Economic and Social Research Institute (ESRI) has said.

“By the end of 2010, GNP per head is expected to be lower than its value in 2002,” the bulletin said.

“The challenge of restoring competitiveness in the context of a fixed exchange rate remains considerable.”