Short-term prospects for economy ‘precarious’

THE Economic and Social Research Institute (ESRI) has warned the economy grew by just 0.25% this year while the domestic side will “continue to shrink”.

It says growth next year will be around 2.25% but huge uncertainties surround its forecasts.

The cystallisation of the Government’s banking losses at €25 billion and the continuing difficulties with sovereign debt markets across Europe suggest “the short term prospects for the Irish economy continue to be precarious.”