Irish economy ‘to keep growing’ despite headwinds

Commentators still expect the economy to continue its impressive growth surge this year following its best performance in 15 years despite domestic political uncertainty, the Brexit threat and a slowing global economy.

Latest CSO data yesterday showed that the economy, in GDP terms, increased 7.8% in 2015 and 5.7% in GNP terms, which excludes contribution from multinational companies. The GDP reading comfortably beat some forecasts, which had pencilled in a 7% increase, and meant Ireland was the fastest growing economy in the EU for a second consecutive year. It outpaced eurozone growth by almost five times and hit the highest expansion rate since 2000.

The fourth quarter of the year saw GDP grow 2.7% on the preceding three months and 9.2% on an annualised basis. Even with some considerable potential headwinds, consensus thinking is for further growth of at least 5% in 2016.