Growth forecast lowered again

THE Central Bank has lowered its growth forecast for the Irish economy for the third time in a row but still predicts GDP to grow by 0.9% this year, compared to the IMF’s prediction of 0.5%.

In its latest quarterly economic bulletin — its second since the start of the year — the bank also said it expects Irish GDP to grow by a further 2.2% in 2012.

Its latest outlook for this year’s growth is only slightly down on its previous 1% growth forecast. However, that forecast was made in January and yesterday’s alteration marks the third time in as many bulletins that the Central Bank has downgraded its outlook.