ESRI predicts 3.5% economic growth next year

The Government’s Economic and Social Research Institute has predicted economic growth of around 3.5% in Ireland next year.

However, in its latest quarterly economic outlook, the ESRI also predicted that unemployment would rise slightly to 5%, but that inflation would fall to an average of around 2.2%.

The ESRI said the prospects for the Irish economy next year were good, despite deteriorating competitiveness in recent years.

It said economic growth was expected to be around 2.5% this year, while inflation was expected to average around 3% for the year.