Central Bank cautious about growth

The Central Bank has increased its 2014 growth forecast to 2%, although it warned that the economic outlook remains very uncertain because of the level of loan arrears.

“Despite some recent improvement, the scale of mortgage arrears remains a significant threat to financial stability,” it said.

“The number and value of mortgage accounts in arrears fell on a quarterly basis in the third quarter of 2013 as the scale of early arrears cases moderated further.