Mistake will haunt ex-ESRI chief ‘until he dies’

The ESRI’s former lead researcher said its declaration in May 2008 that the economy was fundamentally sound is a mistake that will stay with him until the day he dies.

Speaking at the Oireachtas banking inquiry, Professor John FitzGerald said that in the absence of in-house expertise on the banking sector his organisation relied upon data from international bodies, none of which were predicting a global financial crash.

On this basis and despite being conscious a problem existed, the ESRI made a call that Ireland would escape a ruinous collapse which Mr FitzGerald repeatedly admitted was a huge mistake and entirely wrong.