Davy doubles its projection for Ireland's GDP

Expects consumer spending to return to pre-pandemic levels this year

The commitment by the Government not to raise taxes in Budget 2022 will support spending into 2022. File Picture: Larry Cummins

Davy has revised up its forecast for Irish GDP growth to 10% in 2021 versus 4.8% previously due to the buoyant export and multinational sectors with the indigenous economy performing better than expected. 

"The contraction in early 2021 was shallower than we feared, and a clear rapid bounce-back has taken place in Q3 as Ireland’s successful Covid-19 vaccination programme has allowed business restrictions to be lifted, with further easing to come in H2 2021," the stockbroking firm said.