Irish GDP contracts by 3.3% so far this year 

GDP not considered the best measure for Irish economic activity due to the presence of several multinational corporations here

GDP shrank by 1.2% between July and September compared to the same period last year. 

Ireland’s gross domestic product (GDP) is estimated to have contracted by 1.2% between July and September, compared to the same period last year, new figures from the Central Statistics Office (CSO) shows.

Overall, the Irish economy has contracted by 3.3% over the first nine months of the year.

While the contraction in GDP may be concerning, it is not considered the best measure for Irish economic activity due to the presence of several multinational corporations here, which can skew the results.

The Irish Government uses other metrics such as modified gross domestic income or modified domestic demand.

Early estimates indicate that Gross Domestic Product (GDP) increased by 2.0% in Quarter 3 2024https://t.co/htsj6DQf1U#CSOIreland #Ireland #NationalAccounts #BalanceofPayments #Economy #Economics #Macroeconomics #EconomicActivity #Output #ValueAdded pic.twitter.com/Sslc5zqlzQ

— Central Statistics Office Ireland (@CSOIreland) October 29, 2024

Despite the fall, the CSO estimates GDP grew by 2% between July and September when compared to the previous three months due to an increase in multinational dominated sectors — particularly the industry sector, which includes pharmaceutical companies, as well as the information and communication sector, which encompasses the tech sector.

The CSO said the final GDP figure for this quarter would be published in early December.

Other eurozone countries are expected this week to post their latest economic growth indicators, along with inflation figures. 

The German Chamber of Commerce and Industry on Tuesday forecast Europe's largest economy would contract by 0.2% this year, and would see zero growth next year.

Additional reporting Reuters